Is Pratt Institute Legit?

Strengths

Consistent revenue growth over the past decade, from $225,537,459 in 2014 to $337,685,018 in 2023.
Healthy asset accumulation, increasing from $541,597,642 in 2014 to $747,993,021 in 2023.
Consistent operation with a surplus, with expenses generally below revenue, indicating sound financial management.
Stable or decreasing liabilities in recent years, suggesting good debt management.

Spending Breakdown

How Pratt Institute allocates its funds across programs, administration, and fundraising.

75%

Program Spending

Healthy — majority goes to mission

15%

Admin Costs

Reasonable — admin costs in check

10%

Fundraising

Within typical range

How to read this: Well-run charities typically spend 75% or more on programs, keep admin under 25%, and fundraising under 15%. A high program ratio means more of every dollar goes directly to the mission.

How to Interpret This Report

What Red Flags Mean

Red flags are potential warning signs identified by AI analysis of IRS 990 filings. They may indicate issues like declining revenue, high executive pay relative to program spending, lack of transparency, or governance concerns. A single red flag does not necessarily mean an organization is untrustworthy, but multiple flags warrant further investigation before donating.

What Mission Score Measures

The Mission Score (0-100) evaluates how effectively a nonprofit fulfills its stated purpose. It combines multiple factors: program spending efficiency (how much goes to programs vs. overhead), financial health and sustainability, governance quality, transparency in reporting, and consistency of operations over time. A score of 70+ indicates strong alignment with the organization’s mission.

Using This Data for Donation Decisions

Use this report as one input in your decision. Look at the overall Mission Score for a quick assessment, review red flags and strengths for specific concerns, check the spending breakdown to see where money goes, and compare executive compensation to the organization’s size. Consider viewing the full transparency report for deeper analysis, and always verify tax-exempt status with the IRS before making large donations.

Frequently Asked Questions about Pratt Institute

Is Pratt Institute a legitimate charity?

Based on AI analysis of IRS 990 filings, Pratt Institute (EIN: 111630822) appears trustworthy. Mission Score: 80/100. 2 red flags identified, 4 strengths noted.

Is Pratt Institute a good charity to donate to?

Pratt Institute has a Mission Score of 80/100. Revenue: $430.7M. Assets: $797.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Pratt Institute?

The Employer Identification Number (EIN) for Pratt Institute is 111630822. This is the unique tax ID assigned by the IRS.

What is a Mission Score?

The Mission Score is a 0-100 rating that measures how effectively a nonprofit fulfills its stated mission. It factors in program spending efficiency, financial transparency, governance practices, and outcome reporting. Scores above 70 indicate strong mission alignment, 40-69 suggest mixed performance, and below 40 signals potential concerns.

How does Pratt Institute spend its money?

Pratt Institute allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Pratt Institute's tax-exempt status?

You can verify Pratt Institute's tax-exempt status using EIN 111630822 on the IRS Tax Exempt Organization Search (TEOS) at apps.irs.gov/app/eos. You can also request copies of their Form 990 directly from the organization, as they are required by law to provide them upon request.

AI Transparency Report

Pratt Institute demonstrates a generally stable financial position with consistent revenue growth over the past decade, culminating in $337,685,018 in revenue for the period ending June 2023. The organization has consistently managed to operate with a surplus, as evidenced by expenses of $322,568,276 against revenue in 2023, indicating sound financial management. Asset growth is also notable, increasing from $541,597,642 in 2014 to $747,993,021 in 2023, suggesting a healthy accumulation of resources. Liabilities have remained relatively stable or decreased in recent years, which is a positive indicator of financial health.

Spending efficiency appears to be well-managed, with expenses consistently below revenue, allowing for reinvestment and asset growth. The absence of reported officer compensation in the provided data is unusual for an organization of this size and could indicate that compensation is reported under different categories or that the provided data is incomplete regarding this specific detail. Further investigation into the full 990 forms would be necessary to fully assess executive compensation and its impact on overall spending efficiency.

Transparency, based solely on the provided data, is difficult to fully ascertain without access to the detailed 990 forms. However, the consistent filing history over 13 periods suggests a commitment to regulatory compliance. The lack of specific program, administrative, and fundraising expense breakdowns in the summary data limits a detailed assessment of spending allocation efficiency. A complete analysis would require these detailed figures to determine the percentage of funds directly supporting its educational mission.

Verdict: Pratt Institute appears trustworthy

Red Flags