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According to a 2020 report by Charity Navigator, a nonprofit organization that evaluates charities, the median percentage of a charity’s expenses that went towards program expenses was 86.0%.
This means that, on average, 86 cents of every dollar donated to a charity was used for charitable programs and services. The remaining 14 cents went towards administrative and fundraising expenses.
However, it’s important to note that this is just a median figure, and there is a wide range of variation among charities. Some charities have much lower program expense ratios, while others have higher ratios.
Our goal at #JustLife is to have a fund/nonprofit where 100% of the donated money goes towards effective and efficient projects, selected by our community and performed by businesses and charities within.
In the meantime, there are always risks associated with giving to charities, and donors should be cautious and do their research before making a donation. Some charities may have high overhead costs or may spend a large portion of their budget on fundraising rather than on programs and services. Others may engage in fraudulent or unethical practices.
To avoid supporting bad charities, donors can take steps to ensure that their donations are going to legitimate and effective organizations. This includes researching charities before making a donation, checking their financial statements and program reports, and verifying their tax-exempt status.
Do Not donate without doing research.
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