Quick charity verification for Teen Challenge (EIN: 112510315)
Verdict: Teen Challenge appears trustworthy
70/100Mission Score
$3.4MRevenue
$19.5MAssets
3Red Flags
3Strengths
Red Flags
Consistent 0% officer compensation, which is unusual for an organization of this size and asset base, potentially obscuring true leadership costs.
Extreme revenue volatility, particularly the $17.5 million spike in 2019, which is not explained and deviates significantly from other years' revenues.
Lack of detailed functional expense breakdown (program, admin, fundraising) in the provided data, making precise spending efficiency analysis difficult.
Strengths
Strong asset base, growing from $3-4 million to over $19 million, indicating significant financial resources.
Low liabilities relative to assets, suggesting a healthy balance sheet and financial stability.
Expenses have remained relatively stable despite revenue fluctuations, indicating consistent operational costs.
Spending Breakdown
How Teen Challenge allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
15%
Admin Costs
Reasonable — admin costs in check
5%
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 Teen Challenge
Is Teen Challenge a legitimate charity?
Based on AI analysis of IRS 990 filings, Teen Challenge (EIN: 112510315) appears trustworthy. Mission Score: 70/100. 3 red flags identified, 3 strengths noted.
Is Teen Challenge a good charity to donate to?
Teen Challenge has a Mission Score of 70/100. Revenue: $3.4M. Assets: $19.5M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Teen Challenge?
The Employer Identification Number (EIN) for Teen Challenge is 112510315. 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 Teen Challenge spend its money?
Teen Challenge allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Teen Challenge's tax-exempt status?
You can verify Teen Challenge's tax-exempt status using EIN 112510315 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
Teen Challenge's financial health shows significant volatility in revenue, with a notable spike to $17,554,972 in 2019, contrasting with typical revenues around $1-2 million in other years. Despite this, expenses have remained relatively stable, generally between $1.1 million and $1.8 million. The organization consistently reports zero officer compensation, which is unusual for an organization of its asset size ($19.4 million latest assets) and could indicate that key leadership roles are either unpaid or compensated through other means not disclosed as officer compensation. The organization's assets have grown substantially, from around $3-4 million in 2014-2018 to over $19 million in recent years, suggesting significant capital accumulation or asset revaluation.
Spending efficiency is difficult to fully assess without a detailed functional expense breakdown (program, administrative, fundraising). However, the consistent reporting of zero officer compensation, while potentially positive for direct program spending, also raises questions about the transparency of leadership compensation and overall governance structure. The large fluctuation in revenue, particularly the 2019 anomaly, warrants further investigation to understand its source and sustainability. The organization's liabilities have remained very low relative to its assets, indicating a strong balance sheet.
Overall, while the organization appears financially stable with substantial assets and low liabilities, the lack of reported officer compensation and the revenue volatility are areas that could benefit from greater transparency. A clearer breakdown of functional expenses would also provide a more complete picture of spending efficiency.