AARP - Chapters Group Return

Nonprofit profile at a glance

EIN
237377940
IRS 990 coverage
2020–2024
Forms available
Form 990 2024
Location
Washington, DC, USA
Phone
2024343573
Rating
82
Verdict
STRONG
Rating confidence
Moderate

Official website

Reported finances

Revenue
$4,708,951
Expenses
$4,831,443
Assets
$1,958,801
Liabilities
$0

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

1 person listed

People named in this filing

  • See Attachment 1 (various)

Selected names, not a complete roster or a statement of current roles. Open leadership details for the complete filed list.

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

AARP chapters help to foster quality of opportunity for older Americans by promoting their continued growth and development, self-respect, self-confidence and usefulness, and to aid these persons generally in their social, physical, economic and intellectual needs by acting as a local chapter of AARP, an organization described in Section 501(c)(4) of the Internal Revenue Code, in accordance with and in furtherance of its purposes, objectives and ideals.

What it reported doing in 2024

Tours: AARP chapters are promoting the social welfare of older persons by providing tours designed for the companionship needs and wants of older people, and also using their large-scale booking power to achieve savings for members. AARP's group tours build in for older persons an extra measure of security by having escorts able to handle any special situation or needs of its older members. In addition, tours help establish and excellent learning environment for those tours which pertain to histroical or educational sites. Funds received by AARP chapters for tours are received from chapter members and paid by the chapter to the tour provider. The excess of receipts for this activity exceeds the amount paid due to the method of accounting employed by the chapters and represents amounts due to tour providers.

Operating model

Revenue model
Earned-program. 84% of the money available for current operations came from fees and other program revenue.
Distribution model
Direct operator. The filing allocates 95% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Some filing-based governance responses are negative or unanswered and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 86
  • Transparency & Controls: 92
  • Accountability: 70
  • Sustainability: 38
  • Growth: 80

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 97.9%; rating input score 98
  • Program expense ratio: 95.5%; rating input score 95
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 63rd percentile among comparable filings
  • Governance controls: 2 of 7 controls in place; rating input score 29
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -2.6%; rating input score 25; 25th percentile among comparable filings
  • Total-asset coverage ratio: 0.41; rating input score 13; 13th percentile among comparable filings
  • Liabilities to assets ratio: 0; rating input score 97; 97th percentile among comparable filings
  • Officer compensation ratio: 0%; rating input score 91; 91st percentile among comparable filings

Growth

  • Program expense growth: 31.6% per year; rating input score 100; 93rd percentile among comparable filings
  • Revenue growth: 34.3% per year; rating input score 100; 95th percentile among comparable filings
  • Asset growth: -3.4% per year; rating input score 0; 5th percentile among comparable filings

Details

  • Where the money goes: 97.9% of revenue deployed · 95.5% of spending went to programs
  • Governance: 2230 of 2230 board members independent · 2 of 7 filing controls reported
  • Programs: 3 filed program accomplishments · $4.6M in reported program spending
  • Leadership: top reported pay $0 · 1 people listed
  • Consistency: 12 of 12 current checks pass
  • Schedules: 3 filed schedules · includes major donors
  • Filing history: 5 filing years from 2020 to 2024
  • Contacts: How to reach this organization
  • Related organizations: 1 filed related-organization link
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • High — Accountability: Governance controls: 4 of 6 not reported.
  • High — Sustainability: Operating margin scored 25/100.
  • High — Sustainability: Total-asset coverage ratio scored 13/100.
  • High — Growth: Asset growth scored 0/100.