Anyone who donates to charity has probably wondered how much of their money reaches the intended recipient. After all, charities have bills to pay too. Overhead expenses, fundraising, and marketing eat into each dollar raised for the cause. But how can you know how efficiently your money is being spent?
To help you find out, MoneySense magazine has created Canada’s first grading system for the country’s top 100 charities. We assign a charity standards grade to organizations based on how each charity performs in four categories:
•Governance and transparency; and
•Reserve fund size.
The table below will help you to sort charities by category and compare them to their peers. This will give you an idea of how well-run the organizations are and where your donations go.
However, we recommend that you do not use our grades in isolation when deciding which charities to support. Instead, use our grades as a starting point for your own research.