At Wheel of Hope, we recognize that skepticism about charitable giving is both natural and prudent. Donors want to ensure their contributions make a meaningful impact and are used efficiently. That's why we have established a comprehensive, multi-step verification process for our charity partners, designed to uphold the highest standards of accountability and transparency.
This page details the rigorous steps we take before a nonprofit organization can become a recipient of our proceeds. From verified tax-exempt status to thorough financial health checks and governance assessments, our commitment to transparency is not just an option; it's the norm.
✓Key facts you can verify
- Verification of IRS 501(c)(3) status via pub78 and EIN database.
- State charitable registration lookup to confirm compliance in operational states.
- Form 990 review to ensure a program expense ratio of 70% or higher.
- Checks against Charity Navigator, BBB Wise Giving Alliance, and GuideStar ratings.
- Verification of board governance to avoid self-dealing.
- Annual re-verification of all charity partners.
How it works, step by step
Initial Submission
Nonprofits must submit their application along with required documentation, including their IRS determination letter and financial statements. This stage typically takes 2-4 weeks.
Compliance Check
We conduct a thorough review of the organization’s IRS status, ensuring they are a recognized 501(c)(3) and cross-check against state registration databases, which takes about 1 week.
Financial Evaluation
Analyzing Form 990 submissions, we confirm that at least 70% of expenses are allocated to programs. Organizations with a program expense ratio below 60% are rejected immediately. This stage lasts 1-2 weeks.
Governance Assessment
We evaluate board governance structures to ensure there is no self-dealing or related-party transactions. This process typically requires 1 week.
Final Decision and Annual Review
After a complete review, we make a decision. Each partner is re-verified annually to maintain compliance and transparency.
Verify it yourself
✓ IRS Pub78 Lookup
How: Verify the organization’s 501(c)(3) status via the IRS pub78 database to confirm its tax-exempt status and good standing.
✓ Charity Navigator Search
How: Check Charity Navigator for ratings and financial health metrics, ensuring the nonprofit maintains transparency and accountability in its operations.
✓ Attorney General Registry
How: Review the state Attorney General’s registry for any complaints or compliance issues, ensuring the organization has no red flags.
✓ Form 990 Retrieval
How: Access and review Form 990 documents from the IRS or GuideStar to analyze financial details, including revenue and program expenses.
✓ Better Business Bureau
How: Consult the Better Business Bureau for evaluations and any complaints that may impact the nonprofit’s credibility and trustworthiness.
Real impact, real numbers
Since our inception, Wheel of Hope has distributed over $500,000 in proceeds to various local charities, resulting in the creation of 300 job opportunities, the provision of 5,000 meals to vulnerable families, and funding for 20 youth mentorship programs in Providence. Each dollar contributed has been strategically allocated to ensure maximum impact and positive change in our community.
Providence oversight
In Rhode Island, the state's Department of Charity Registration oversees the compliance and registration of nonprofits. We work closely with local charity registrars and the Attorney General's office to ensure that all organizations we partner with are properly vetted. Should any complaints arise, they are addressed promptly through state-level protocols, ensuring that donors can trust the integrity of the charities supported by Wheel of Hope.
FAQ
What if I can't find the charity on IRS pub78?
How do you handle complaints against a charity?
What if a charity has a low program expense ratio?
Can I donate directly to vetted charities?
How often do you re-evaluate your charity partners?
What makes Wheel of Hope different from other charities?
Are your processes open to public scrutiny?
More transparency pages
We invite you to join us in making a difference in Providence. Your support means more than just financial contributions; it means investing in transparent and accountable organizations that are committed to making a positive impact. Together, let’s create a brighter future for our community.