Is Terasem Movement Foundation Inc Legit? —…

Quick charity verification for Terasem Movement Foundation Inc (EIN: 201780425)

Spending Breakdown

How Terasem Movement Foundation Inc allocates its funds across programs, administration, and fundraising.

70%

Program Spending

Below average — room for improvement

20%

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 Terasem Movement Foundation Inc

Is Terasem Movement Foundation Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Terasem Movement Foundation Inc (EIN: 201780425) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.

Is Terasem Movement Foundation Inc a good charity to donate to?

Terasem Movement Foundation Inc has a Mission Score of 65/100. Revenue: $181K. Assets: $5.0M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Terasem Movement Foundation Inc?

The Employer Identification Number (EIN) for Terasem Movement Foundation Inc is 201780425. 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 Terasem Movement Foundation Inc spend its money?

Terasem Movement Foundation Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Terasem Movement Foundation Inc's tax-exempt status?

You can verify Terasem Movement Foundation Inc's tax-exempt status using EIN 201780425 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

The Terasem Movement Foundation Inc. exhibits inconsistent financial performance, with significant fluctuations in revenue and expenses over the past decade. While the organization holds substantial assets, reported at $5,222,937 in 2023, its recent operations show a trend of expenses significantly exceeding revenue. For instance, in 2023, expenses were $420,931 against revenues of $165,987, and in 2022, expenses were $531,147 against revenues of $177,449. This consistent deficit spending raises questions about long-term financial sustainability, despite the large asset base which may be endowment-related. The organization consistently reports 0% officer compensation, which is a positive indicator for minimizing administrative overhead related to executive pay.

The foundation's financial health appears to be supported by its substantial assets rather than consistent operational surpluses. The significant jump in assets from $1,372,392 in 2020 to $5,839,286 in 2021, coinciding with a revenue spike to $987,846, suggests a large one-time contribution or investment gain that year. However, subsequent years have seen asset values decline while liabilities have increased, from $1,496 in 2020 to $4,201 in 2023. The lack of detailed expense breakdowns in the provided data makes it difficult to fully assess spending efficiency across programs, administration, and fundraising. However, the consistent operational deficits suggest that the organization is drawing down on its asset base to cover expenses.

Transparency regarding executive compensation is excellent, with 0% reported. However, without a detailed breakdown of expenses beyond total figures, it's challenging to fully evaluate how efficiently funds are being allocated to program services versus administrative or fundraising costs. The substantial assets provide a buffer, but the pattern of spending more than it earns operationally is a concern for long-term viability if not addressed by increased revenue or reduced expenses. The organization's NTEE code U050 (Research Institutes and/or Public Policy Analysis) suggests a focus on intellectual or policy work, which may have different cost structures than direct service charities.

Is Terasem Movement Foundation Inc Legit?

Verdict: Terasem Movement Foundation Inc shows mixed signals

Red Flags

Strengths