New Century Academy

Is New Century Academy Legit?

Some Concerns

Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →

New Century Academy directs 85% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.

About New Century Academy

New Century Academy (EIN: 20574622) is a nonprofit organization based in Hutchinson, MN, classified under NTEE code B29. The organization reported total revenue of $2.2M and total assets of $1.1M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of New Century Academy's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.

AI Transparency Report

Mission Effectiveness Score

NonprofitSpending's AI analysis rates New Century Academy with a Mission Score of 70 out of 100 (Good). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.

Spending Breakdown

• admin: 10%
• programs: 85%
• fundraising: 5%

According to IRS 990 filings, New Century Academy allocates its expenses as follows: admin: 10%, programs: 85%, fundraising: 5%. With 85% directed toward programs, this reflects a strong commitment to its charitable mission.

Executive Compensation Analysis

New Century Academy consistently reports 0% officer compensation across all available filings, indicating that no salaries or benefits are paid to its officers, which is highly unusual for an organization of its size and revenue, suggesting either volunteer leadership or compensation is reported under other categories.

Executive compensation data is sourced from IRS 990 filings, which require nonprofits to disclose the compensation of officers, directors, trustees, and key employees. NonprofitSpending analyzes this data relative to the organization's total revenue and sector benchmarks to assess whether executive pay is reasonable.

Red Flags

The following concerns were identified during AI analysis of New Century Academy's IRS 990 filings:

• Consistent liabilities exceeding assets, indicating potential financial instability (e.g., 202306: Liabilities $1,627,462 vs. Assets $1,262,578).
• Significant year-over-year fluctuations in assets and liabilities without clear explanation in the provided data (e.g., Assets dropped from $6.2M in 202206 to $1.2M in 202306).
• Operating deficits in some periods (e.g., 202306: Expenses $2,339,006 exceeded Revenue $2,215,453).

Strengths

The following positive indicators were identified for New Century Academy:

• Consistent revenue generation over $2 million annually.
• No reported officer compensation, suggesting low administrative overhead in this specific category.
• Long filing history (14 filings) indicates consistent compliance with IRS reporting requirements.

Frequently Asked Questions about New Century Academy

Filing History

IRS 990 filing history for New Century Academy showing financial trends over 14 years of public records:

Over 14 years of IRS 990 filings (2010–2023), New Century Academy's revenue has grown by 38.5%, moving from $1.6M to $2.2M. Total assets increased by 118.8% over the same period, from $577K to $1.3M. Total functional expenses rose by 48.6%, from $1.6M to $2.3M. In its most recent filing year (2023), New Century Academy reported a deficit of $124K, with expenses exceeding revenue. The organization holds $1.6M in liabilities against $1.3M in assets (debt-to-asset ratio: 128.9%), resulting in net assets of $-364,884.

Year-by-Year Financial Summary

• 2023: Revenue of $2.2M, expenses of $2.3M, and assets of $1.3M (revenue -26.8% year-over-year).
• 2022: Revenue of $3.0M, expenses of $2.8M, and assets of $6.2M (revenue +5.8% year-over-year).
• 2021: Revenue of $2.9M, expenses of $2.8M, and assets of $6.2M (revenue +15.1% year-over-year).
• 2020: Revenue of $2.5M, expenses of $2.5M, and assets of $1.9M (revenue -7.5% year-over-year).
• 2019: Revenue of $2.7M, expenses of $2.5M, and assets of $2.2M (revenue +16.4% year-over-year).
• 2018: Revenue of $2.3M, expenses of $2.3M, and assets of $2.1M (revenue +5.3% year-over-year).
• 2017: Revenue of $2.2M, expenses of $2.1M, and assets of $2.1M (revenue +12.1% year-over-year).
• 2016: Revenue of $2.0M, expenses of $1.7M, and assets of $793K (revenue +9.9% year-over-year).
• 2015: Revenue of $1.8M, expenses of $1.8M, and assets of $429K (revenue -6.0% year-over-year).
• 2014: Revenue of $1.9M, expenses of $2.0M, and assets of $356K (revenue +0.5% year-over-year).
• 2013: Revenue of $1.9M, expenses of $1.9M, and assets of $457K (revenue +17.2% year-over-year).
• 2012: Revenue of $1.6M, expenses of $1.7M, and assets of $685K (revenue +0.8% year-over-year).
• 2011: Revenue of $1.6M, expenses of $1.6M, and assets of $608K (revenue -0.5% year-over-year).
• 2010: Revenue of $1.6M, expenses of $1.6M, and assets of $577K.

Data Sources and Methodology

This transparency report for New Century Academy is generated by NonprofitSpending's AI analysis engine. The data is sourced from publicly available IRS 990 filings accessed through the ProPublica Nonprofit Explorer API and IRS electronic filing records. The Mission Score, spending breakdown, and other analytical insights are produced by artificial intelligence and should be used as one of multiple factors when evaluating a nonprofit organization.

IRS 990 forms are annual information returns that most tax-exempt organizations must file with the IRS. These forms provide detailed financial information including revenue, expenses, assets, liabilities, and compensation of officers. NonprofitSpending processes this data to provide accessible transparency reports for donors, researchers, and the general public.

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.