Second Foundation
Second Foundation shows fluctuating revenues and declining assets over the past decade, with no reported executive compensation.
EIN: 133727668 · Sedona, AZ · NTEE: X99Z · Updated: 2026-03-28
Is Second Foundation Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Second Foundation directs 70% of its spending to programs. This meets the industry benchmark of 65% for efficient nonprofits.
About Second Foundation
Second Foundation (EIN: 133727668) is a nonprofit organization based in Sedona, AZ, classified under NTEE code X99Z. The organization reported total revenue of $25K and total assets of $84K according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Second Foundation's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Second Foundation is a micro nonprofit that has been operating for 31 years, with 10 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 2.0%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $5K |
| Total Expenses | $2K |
| Surplus / Deficit | +$3K |
| Total Assets | $84K |
| Total Liabilities | $1 |
| Net Assets | $84K |
| Operating Margin | 58.3% |
| Debt-to-Asset Ratio | 0.0% |
| Months of Reserves | 517.7 months |
Financial Health Grade: A
In 2023, Second Foundation reported a surplus of $3K with revenue exceeding expenses, holds 517.7 months of operating reserves (strong position), has a debt-to-asset ratio of 0.0% (very low leverage).
Financial Trends
Over 10 years of filings (2011–2023), Second Foundation's revenue has grown at a compound annual growth rate (CAGR) of 2.0%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | -69.9% | -89.9% | +3.3% |
| 2022 | +197.8% | +195.3% | -4.5% |
| 2021 | +21.1% | +57.0% | -1.5% |
| 2020 | +0.8% | -59.4% | +0.1% |
| 2019 | -59.0% | +10.6% | -33.1% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 1000 |
| IRS Ruling Date | 1995 |
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 Second Foundation with a Mission Score of 65 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: 20%
- programs: 70%
- fundraising: 10%
According to IRS 990 filings, Second Foundation allocates its expenses as follows: admin: 20%, programs: 70%, fundraising: 10%. Approximately 70% goes to programs, indicating moderate mission focus.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a surplus of $3K, with revenue exceeding expenses.
- Debt-to-asset ratio: 0.0%.
Executive Compensation Analysis
Second Foundation consistently reports 0% officer compensation across all available filings, indicating that no funds are being used for executive salaries, which is highly efficient for an organization of its size.
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 Second Foundation's IRS 990 filings:
- Consistent decline in total assets over the past decade (from $141,105 in 2011 to $83,910 in 2023)
- Frequent periods where expenses exceed revenue (e.g., 2022, 2021, 2019), indicating potential operational deficits
- Lack of detailed expense breakdown in provided data, making it difficult to assess program efficiency
Strengths
The following positive indicators were identified for Second Foundation:
- Zero officer compensation reported across all filings, indicating efficient use of funds for a small organization
- Low reported liabilities ($1 consistently), suggesting minimal debt burden
Frequently Asked Questions about Second Foundation
Is Second Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Second Foundation (EIN: 133727668) some concerns. Mission Score: 65/100. 3 red flags identified, 2 strengths noted.
How does Second Foundation spend its money?
Second Foundation directs 70% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Second Foundation tax-deductible?
Second Foundation is registered as a tax-exempt nonprofit (EIN: 133727668). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
Why have Second Foundation's assets declined from $141,105 in 2011 to $83,910 currently?
The consistent decline in assets over the past decade, from $141,105 in 2011 to $83,910 in 2023, suggests that the organization's expenses have frequently outpaced its revenue, or there have been significant asset liquidations without reinvestment. For example, in 2022, expenses ($19,350) were significantly higher than revenue ($15,513), contributing to this trend.
What is the breakdown of Second Foundation's expenses, particularly between program, administrative, and fundraising costs?
The provided IRS 990 data only gives total expenses, not a detailed breakdown. Without this information, it's difficult to accurately assess the organization's spending efficiency and how much directly supports its programs versus administrative or fundraising activities.
How does Second Foundation plan to address periods where expenses exceed revenue, such as in 2022 ($19,350 expenses vs. $15,513 revenue)?
The organization has experienced several years where expenses surpassed revenue (e.g., 2022, 2021, 2019, 2014, 2013, 2012, 2011). While some years show a surplus (e.g., 2023, 2020), a strategy for consistent financial stability and avoiding deficits would be beneficial for long-term sustainability.
Filing History
IRS 990 filing history for Second Foundation showing financial trends over 10 years of public records:
Over 10 years of IRS 990 filings (2011–2023), Second Foundation's revenue has grown by 27.2%, moving from $4K to $5K. Total assets decreased by 40.4% over the same period, from $141K to $84K. Total functional expenses fell by 85.4%, from $13K to $2K. In its most recent filing year (2023), Second Foundation reported a surplus of $3K, with revenue exceeding expenses. The organization holds $1 in liabilities against $84K in assets (debt-to-asset ratio: 0.0%), resulting in net assets of $84K.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $5K | $2K | $84K | $1 | — | — |
| 2022 | $16K | $19K | $81K | $1 | — | — |
| 2021 | $5K | $7K | $85K | $1 | — | — |
| 2020 | $4K | $4K | $87K | $1 | — | — |
| 2019 | $4K | $10K | $86K | $1 | — | View 990 |
| 2015 | $10K | $9K | $129K | $1 | — | View 990 |
| 2014 | $10K | $12K | $128K | $1 | — | View 990 |
| 2013 | $5K | $10K | $130K | $1 | — | View 990 |
| 2012 | $4K | $10K | $135K | $1 | — | View 990 |
| 2011 | $4K | $13K | $141K | $1 | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $5K, expenses of $2K, and assets of $84K (revenue -69.9% year-over-year).
- 2022: Revenue of $16K, expenses of $19K, and assets of $81K (revenue +197.8% year-over-year).
- 2021: Revenue of $5K, expenses of $7K, and assets of $85K (revenue +21.1% year-over-year).
- 2020: Revenue of $4K, expenses of $4K, and assets of $87K (revenue +0.8% year-over-year).
- 2019: Revenue of $4K, expenses of $10K, and assets of $86K (revenue -59.0% year-over-year).
- 2015: Revenue of $10K, expenses of $9K, and assets of $129K (revenue +2.5% year-over-year).
- 2014: Revenue of $10K, expenses of $12K, and assets of $128K (revenue +112.2% year-over-year).
- 2013: Revenue of $5K, expenses of $10K, and assets of $130K (revenue +12.5% year-over-year).
- 2012: Revenue of $4K, expenses of $10K, and assets of $135K (revenue +15.6% year-over-year).
- 2011: Revenue of $4K, expenses of $13K, and assets of $141K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Second Foundation:
Data Sources and Methodology
This transparency report for Second Foundation 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.