How we read a Form 990.

What we read

• IRS Form 990. The annual information return most tax-exempt organizations must file. We use Part I (summary), Part VII (pay of officers, key employees and the five largest contractors), Part VIII (revenue), Part IX (functional expenses, including joint costs on line 26) and Part X (balance sheet), plus Schedules J, L and O where relevant.
• Audited financial statements. Where a charity publishes them, the audit is our first source for the program-by-program expense split, joint-cost allocation and liquidity.
• Annual reports. Used for the most recent year before its 990 is public, and for outcome numbers. We label these as the charity's own claims.

Filings come from the IRS, ProPublica's Nonprofit Explorer and the charity's own website. Every figure on a charity page links to the document it came from.

The numbers we calculate

Program share (as reported)

Program service expenses ÷ total functional expenses, from Form 990 Part IX, line 25. This is the charity's own split.

CPA view

Charities may split the cost of mailings and ads that both ask for money and educate (“joint costs”) between programs and fundraising. The rules allow it. The CPA view moves the program portion of joint costs into fundraising, to show the split a skeptical reader would use. Source: Form 990 Part IX, line 26, or the audit's joint-cost note.

Cost to raise $1

Fundraising expenses ÷ contributions and grants received. We show it as reported and with the CPA view's adjustment.

CEO pay share

The top executive's reportable compensation from Part VII ÷ total functional expenses. Comparing pay to the size of the budget is fairer than comparing salaries alone.

Savings, in months

Net assets ÷ annual spending × 12. Where the audit reports financial assets available for general use within a year, we also show that, since net assets can include buildings and restricted gifts.

What the money bought

The natural expense lines (salaries, postage, media buys and so on) within each program, from the audited statement of functional expenses. These are on an accounting basis and include non-cash depreciation.

Facts and reads

On every page, a fact is what the filing says. A read, set in italics, is our interpretation. We keep the two visibly separate so you can disagree with us using the same evidence.

How pages are made

We use software, including AI tools, to pull figures from filings and draft summaries. A CPA reviews every full charity file before it is published and checks each figure against its source. Pages marked “Data only” show figures drawn from filings without a full review.

Corrections

If a figure is wrong, tell us at [email protected] ([email protected]). Charities may send corrections with a source document. We fix verified errors quickly and note the change on the page.

Independence

We are not paid by any charity we review. Read our sponsorship policy for how advertising works and where it can and cannot appear.