New Jersey Division of Consumer Affairs Spotlights Top 10 Most Inquired-About Charities

NEWARK – According to its most recent fiscal report to the state, the AARP Foundation, based in Washington, DC, spent 90 percent of its annual funds to provide information, education, and service to individuals 50 years old and older. The organization spent the rest on expenditures related to fundraising, management, and general costs.
The National September 11 Memorial Museum at the World Trade Center, based in New York City, spent 55 percent of its funds on program expenses related to the design, construction, and operation of the National September 11 Memorial; it dedicated 31 percent to fundraising and 15 percent to management and general costs.
Continuing its ongoing effort to bring transparency to how charities spend money given by donors, the New Jersey Division of Consumer Affairs today released the updated list of “New Jersey’s Top 10 Most Inquired-About Charities,” with pie charts illustrating each charity’s spending during its most recently reported fiscal year.
The list, available at www.njconsumeraffairs.gov/charity/inquired/#list, is drawn from consumer calls to the Division’s Charities Registration Hotline, 973-504-6215. Today’s list provides information on the 10 charities most often asked about by consumers who called the Hotline in July and August 2011.
“Before consumers donate their hard-earned dollars to a cause, they should know exactly how the charity in question will use their money,” Thomas R. Calcagni, Director of the Division of Consumer Affairs, said. “Potential donors are often completely unaware that certain charities spend 80 percent of their donations on nothing but fundraising, while others spend nearly every cent on actual charitable programs. We remain committed to helping consumers empower themselves, and helping them ‘investigate before you donate.’”
According to the Better Business Bureau’s “Standards for Charity Accountability,” a charity should dedicate at least 65 percent of its expenses toward program activities, and no more than 35 percent on fundraising.
Each of the Top 10 charities is listed below, beginning with those that spent the smallest percentage of their funds on charitable programs. Refer to the list at www.njconsumeraffairs.gov/charity/inquired/#list, to see the full pie chart and additional information for each charity on the list.
•National September 11 Memorial Museum at the World Trade Center, of New York City. Total expenses for the fiscal year ending December 31, 2009: $10 Million. Charitable program expenses: 54.6 percent. Fundraising expenses: 30.5 percent. Management and general expenses: 14.9 percent.
•Paralyzed Veterans of America, of Washington, DC. Total expenses for the fiscal year sending December 31, 2010: $111 Million. Charitable program expenses: 60 percent. Fundraising expenses: 31.8 percent. Management and general expenses: 8.2 percent.
•Wounded Warrior Project, of Jacksonville, FL. Total expenses for the fiscal year ending September 30, 2010: $35 Million. Charitable program expenses: 64.1 percent. Fundraising expenses: 28.3 percent. Management and general expenses: 7.7 percent.
•Tea Party Patriots, of Woodstock, GA. Total expenses for the fiscal year ending May 31, 2010: $664,000. Charitable program expenses: 69.1 percent. Fundraising expenses: 6.8 percent. Management and general expenses: 24.1 percent.
•Disabled American Veterans, of Cold Spring, KY. Total expenses for the fiscal year ending December 31, 2010: $126 Million. Charitable program expenses: 69.2 percent. Fundraising expenses: 25.9 percent. Management expenses: 4.9 percent.
•American Parkinson Disease Association, of Staten Island, NY. Total expenses for the fiscal year ending August 31, 2010: $10 Million. Charitable program expenses: 69.4 percent. Fundraising expenses: 19 percent. Management and general expenses: 11.6 percent.
•Humane Society of the U.S., of Washington, DC. Total expenses for the fiscal year ending December 31, 2009: $123 Million. Charitable program expenses: 77 percent. Fundraising expenses: 19.2 percent. Management and general expenses: 3.7 percent.
•United Service Organization, of Arlington, VA. Total expenses for the fiscal year ending December 31, 2010: $175 Million. Charitable program expenses: 79.3 percent. Fundraising expenses: 13.5 percent. Management and general expenses: 7.2 percent.
•Veterans Support Foundation, of Silver Spring, MD. Total expenses for the fiscal year ending December 31, 2010: $551,000. Charitable program expenses: 81.2 percent. Fundraising expenses: 1.4 percent. Management and general expenses: 17.4 percent.
•AARP Foundation, of Washington, DC. Total expenses for the fiscal year ending December 31, 2009: $130 Million. Charitable program expenses: 90.3 percent. Fundraising expenses: 7.4 percent. Management and general expenses: 2.3 percent.
The State Division of Consumer Affairs encourages New Jersey consumers to learn about charities before making a donation. For example:
•Find out whether the charity is registered in New Jersey, or is exempt from having to register. (Certain religious and educational organizations, and charities whose annual income includes less than $10,000 in public contributions and fundraising, are exempt from having to register with the state).
•Find out how much the charity spent during recent fiscal years on program costs, management costs, and fundraising.
•Learn about the charity’s stated mission.
•Consumers may obtain information about a charity in several ways. They can ask the charity itself (reputable charities encourage you to do so); visit the charity’s website; visit the New Jersey Division of Consumer Affairs’ Charities Registration page at www.NJConsumerAffairs.gov ; or call the Division’s Charities Hotline at 973-504-6215 during regular business hours.
Consumers who believe they have been cheated or scammed by a business, or suspect any other form of consumer abuse, can file a complaint with the State Division of Consumer Affairs by visiting its website, www.NJConsumerAffairs.gov , or by calling 1-800-242-5846 (toll free within New Jersey) or 973-504-6200.
Follow the Division of Consumer Affairs on Facebook at http://www.facebook.com/pages/NJ-Division-of-Consumer-Affairs/112957465445651 , and check our online calendar of upcoming Consumer Outreach events at www.NJConsumerAffairs.gov/outreach/ .