Rachels Tea House
Rachels Tea House shows strong asset growth and no liabilities, with 0% officer compensation.
EIN: 202867794 · Kansas City, KS · NTEE: P73 · Updated: 2026-03-28
| Metric | Value |
|---|---|
| Total Revenue | $28K |
| Total Expenses | $43K |
| Program Spending | 85% |
| Net Assets | $68K |
| Transparency Score | 90/100 |
Is Rachels Tea House Legit?
Appears Legitimate
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Rachels Tea House directs 85% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Rachels Tea House
Rachels Tea House (EIN: 202867794) is a nonprofit organization based in Kansas City, KS, classified under NTEE code P73. The organization reported total revenue of $28K and total assets of $58K according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Rachels Tea House's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Rachels Tea House is a micro nonprofit that has been operating for 20 years, with 13 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 12.1%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $69K |
| Total Expenses | $43K |
| Surplus / Deficit | +$26K |
| Total Assets | $68K |
| Net Assets | $68K |
| Operating Margin | 37.2% |
| Months of Reserves | 19.0 months |
Financial Health Grade: A
In 2023, Rachels Tea House reported a surplus of $26K with revenue exceeding expenses, holds 19.0 months of operating reserves (strong position).
Financial Trends
Over 13 years of filings (2011–2023), Rachels Tea House's revenue has grown at a compound annual growth rate (CAGR) of 12.1%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | +4.3% | +6.6% | +59.7% |
| 2022 | +149.0% | +12.1% | +145.5% |
| 2021 | -35.1% | +29.4% | -35.7% |
| 2020 | +647.0% | +221.9% | +90.3% |
| 2019 | -31.8% | +14.7% | -18.4% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 1000 |
| IRS Ruling Date | 2006 |
Classification data from ProPublica Nonprofit Explorer. Additional BMF data may be available after enrichment.
AI Transparency Report
Mission Effectiveness Score
NonprofitSpending's AI analysis rates Rachels Tea House with a Mission Score of 90 out of 100 (Excellent). 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, Rachels Tea House 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.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a surplus of $26K, with revenue exceeding expenses.
Executive Compensation Analysis
Executive compensation is consistently reported as 0% across all 13 filings, indicating that the organization's leadership is either entirely volunteer-based or compensated through non-officer roles, which is highly favorable for resource allocation directly to programs.
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.
Strengths
The following positive indicators were identified for Rachels Tea House:
- Consistent 0% officer compensation across all filings, indicating high efficiency in leadership costs.
- Zero liabilities reported in all filings, demonstrating strong financial management and no debt.
- Significant asset growth from $2,623 in 2014 to $68,309 in 2023, enhancing long-term stability.
- Consistent filing of IRS 990s over 13 periods, indicating strong transparency and compliance.
- Revenue generally exceeding expenses in recent years, allowing for asset accumulation and sustainable operations (e.g., 2023 revenue $68,615 vs. expenses $43,092).
Frequently Asked Questions about Rachels Tea House
Is Rachels Tea House a legitimate charity?
Based on AI analysis of IRS 990 filings, Rachels Tea House (EIN: 202867794) appears legitimate. Mission Score: 90/100. 0 red flags identified, 5 strengths noted.
How does Rachels Tea House spend its money?
Rachels Tea House directs 85% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Rachels Tea House tax-deductible?
Rachels Tea House is registered as a tax-exempt nonprofit (EIN: 202867794). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What percentage of Rachels Tea House's spending goes to programs?
Rachels Tea House directs 85% to programs, 5% to fundraising. This exceeds the 65% industry benchmark for efficient nonprofits.
How does Rachels Tea House compare to similar nonprofits?
With a transparency score of 90/100 (Excellent), Rachels Tea House is above average for NTEE category P73 nonprofits. The score reflects financial transparency, program spending efficiency, and governance quality based on IRS 990 data.
Where is Rachels Tea House located?
Rachels Tea House is headquartered in Kansas City, Kansas and files with the IRS under EIN 202867794. It is classified under NTEE code P73.
How many years of IRS 990 filings does Rachels Tea House have?
Rachels Tea House has 13 years of IRS 990 filings on record at NonprofitSpending. This extensive filing history provides a strong basis for evaluating long-term financial trends. The most recent filing shows $28K in total revenue.
Is Rachels Tea House a good charity?
Based on its financial data, Rachels Tea House appears to be a good charity. It consistently operates with no liabilities, has shown significant asset growth (from $17,427 in 2021 to $68,309 in 2023), and reports 0% officer compensation, suggesting a high proportion of funds go directly to its mission.
How has Rachels Tea House's financial health changed over time?
Rachels Tea House's financial health has generally improved, particularly in recent years. Assets have grown substantially from $2,623 in 2014 to $68,309 in 2023, and revenue has seen significant increases, reaching a peak of $68,615 in 2023, indicating growing capacity and support.
What is the organization's approach to executive compensation?
The organization's approach to executive compensation is to pay none, as evidenced by 0% officer compensation reported in all 13 IRS 990 filings. This suggests a volunteer-driven leadership model.
Filing History
IRS 990 filing history for Rachels Tea House showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Rachels Tea House's revenue has grown by 292.7%, moving from $17K to $69K. Total assets increased by 7448% over the same period, from $905 to $68K. Total functional expenses rose by 146.9%, from $17K to $43K. In its most recent filing year (2023), Rachels Tea House reported a surplus of $26K, with revenue exceeding expenses.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $69K | $43K | $68K | $0 | — | — |
| 2022 | $66K | $40K | $43K | $0 | — | View 990 |
| 2021 | $26K | $36K | $17K | $0 | — | — |
| 2020 | $41K | $28K | $27K | $0 | — | — |
| 2019 | $5K | $9K | $14K | $0 | — | View 990 |
| 2018 | $8K | $8K | $17K | $0 | — | View 990 |
| 2017 | $11K | $7K | $17K | $0 | — | View 990 |
| 2016 | $12K | $10K | $14K | $0 | — | View 990 |
| 2015 | $36K | $27K | $12K | $0 | — | View 990 |
| 2014 | $19K | $18K | $3K | $0 | — | View 990 |
| 2013 | $20K | $19K | $2K | $0 | — | View 990 |
| 2012 | $17K | $17K | $1K | $0 | — | View 990 |
| 2011 | $17K | $17K | $905 | $0 | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $69K, expenses of $43K, and assets of $68K (revenue +4.3% year-over-year).
- 2022: Revenue of $66K, expenses of $40K, and assets of $43K (revenue +149.0% year-over-year).
- 2021: Revenue of $26K, expenses of $36K, and assets of $17K (revenue -35.1% year-over-year).
- 2020: Revenue of $41K, expenses of $28K, and assets of $27K (revenue +647.0% year-over-year).
- 2019: Revenue of $5K, expenses of $9K, and assets of $14K (revenue -31.8% year-over-year).
- 2018: Revenue of $8K, expenses of $8K, and assets of $17K (revenue -26.1% year-over-year).
- 2017: Revenue of $11K, expenses of $7K, and assets of $17K (revenue -6.7% year-over-year).
- 2016: Revenue of $12K, expenses of $10K, and assets of $14K (revenue -67.7% year-over-year).
- 2015: Revenue of $36K, expenses of $27K, and assets of $12K (revenue +88.2% year-over-year).
- 2014: Revenue of $19K, expenses of $18K, and assets of $3K (revenue -3.6% year-over-year).
- 2013: Revenue of $20K, expenses of $19K, and assets of $2K (revenue +17.3% year-over-year).
- 2012: Revenue of $17K, expenses of $17K, and assets of $1K (revenue -3.5% year-over-year).
- 2011: Revenue of $17K, expenses of $17K, and assets of $905.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Rachels Tea House:
Data Sources and Methodology
This transparency report for Rachels Tea House 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.