4. Charity 990

I think its very helpful to look at a tax returns from charities to see if they are working towards a legitimate cause. When I looked at my organization I found that they were a very good cause to donate to. They used a small amount of money to fund raise and made TONS of money off of it. Also, the people working for this cause were being paid an average amount of money. Not a whole lot of money went into day to day operations and stuff like that, only a rational amount was given to that. In one year they raised more than $1,000,000 and they only used about $10,000 to raise it!

It is important to look at the numbers (tax returns) before making an investment because that way you know how the charity works and whether it is working towards a cause or not. If you start to see that a big portion of the money is going into management and not into the cause then the charity is probably not legitimate. This is just a group of people trying to receive money that is not theirs. They are basically stealing money from people who actually need it.

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