Is Westside Affordable Housing Inc Legit? —…

Quick charity verification for Westside Affordable Housing Inc (EIN: 20567158)

Red Flags

Liabilities ($39,639,000) exceeded assets ($38,754,920) in 2023, indicating potential insolvency.
Significant operational deficits in multiple years (e.g., 2023 expenses $458,649 vs. revenue $63,489; 2016 expenses $247,293 vs. revenue $15,660).
Highly volatile revenue streams make financial planning and sustainability challenging.
Lack of detailed expense breakdown (program, admin, fundraising) in summary data hinders full efficiency assessment.
Unclear how the organization consistently covers operational deficits without reported officer compensation, raising questions about expense categorization.

Spending Breakdown

How Westside Affordable Housing 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 Westside Affordable Housing Inc

Is Westside Affordable Housing Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Westside Affordable Housing Inc (EIN: 20567158) shows mixed signals. Mission Score: 55/100. 5 red flags identified, 4 strengths noted.

Is Westside Affordable Housing Inc a good charity to donate to?

Westside Affordable Housing Inc has a Mission Score of 55/100. Revenue: $626K. Assets: $37.3M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Westside Affordable Housing Inc?

The Employer Identification Number (EIN) for Westside Affordable Housing Inc is 20567158. 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 Westside Affordable Housing Inc spend its money?

Westside Affordable Housing Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Westside Affordable Housing Inc's tax-exempt status?

You can verify Westside Affordable Housing Inc's tax-exempt status using EIN 20567158 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

Westside Affordable Housing Inc. exhibits a complex financial profile. While the organization maintains substantial assets, consistently above $37 million, its revenue generation has been highly volatile, ranging from $15,660 in 2016 to over $2 million in 2014. This volatility makes consistent financial planning challenging. A significant concern is the recent trend of expenses frequently exceeding revenue, notably in 2023 where expenses were $458,649 against revenue of $63,489, and in 2016 where expenses were $247,293 against revenue of $15,660. This suggests a reliance on existing assets or other funding sources to cover operational costs, which is not sustainable long-term without a clear strategy for increased revenue or reduced expenses.

The organization's spending efficiency is difficult to fully assess without a detailed breakdown of program, administrative, and fundraising expenses, which is not provided in the summary data. However, the consistent lack of reported officer compensation across all filings suggests a lean operational structure at the executive level, which can be a positive indicator of efficiency. The substantial asset base, primarily in real estate given its mission, provides a strong foundation, but the operational deficits in several years warrant closer examination of how these assets are being leveraged to support the mission. The significant liabilities in 2023 ($39,639,000) compared to assets ($38,754,920) also raise a red flag regarding its financial stability, indicating that liabilities now exceed assets, a concerning development from previous years where assets significantly outweighed liabilities.

Transparency appears adequate in terms of filing history, with 13 filings available. However, the summary data provided does not allow for a deep dive into the specifics of program delivery versus overhead. The consistent zero officer compensation is a transparent aspect, indicating either a volunteer-led executive team or compensation being reported under other expense categories, which would require further investigation. The primary challenge for transparency and financial health assessment lies in understanding the nature of its substantial assets and liabilities, and how they directly contribute to its affordable housing mission, especially given the fluctuating operational performance.

Is Westside Affordable Housing Inc Legit?

Verdict: Westside Affordable Housing Inc shows mixed signals