Selecting an Efficient Charity

By: Jeremy Ross
By: Jeremy Ross

While there is an appearance of more white collar crime linked to charities and nonprofit organizations, there are tools you can use to judge an organization’s effectiveness.

The Better Business Bureau looks at IRS filings called 9-90 forms to determine effectiveness. They’re public information that all charities must file and can be found on-line.

One measure the better business bureau scrutinizes is charity expenses, suggesting at least 65-percent of expenditures go to programming also called the charitable cause.

Another maker of effectiveness is low spending on an organization’s fund raising. The BBB suggests no more than 35-percent.

Following these guidelines will help insure your charitable gift goes to a cause as opposed to someone’s pocket.

Also helpful in evaluating effectiveness are the following Web sites:

www.guidestar.org
www.grandrapids.bbc.org
www.easternmichiganbbb.org
www.michigan.gov/ag/


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