Bae Systems Welfare Benefit Trust

Nonprofit profile at a glance

EIN
742624710
IRS 990 coverage
2016–2024
Official website data refreshed
Jun 2026
Forms available
Form 990 2024
Location
Falls Church, VA, USA
Phone
5714616000
Rating
83
Verdict
STRONG
Rating confidence
Moderate
Sector
Voluntary Employees Beneficiary Associations (Non-Government)

Official website

Reported finances

Revenue
$534,243,661
Expenses
$537,974,507
Assets
$33,156,493
Liabilities
$0

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

Leadership & pay

1 person listed

Highest reported compensation

  • JP MORGAN CHASE BANK NA (TRUSTEE): $5,700 total reported compensation

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

Overview

Mission

To fund welfare benefits pursuant to irc section 501(c)(9).

What it reported doing in 2024

The exempt purpose of the trust is to fund the payment of health and welfare benefits. The aggregate expense amount was primarily for the payment of health and welfare benefits, with the remainder being payment of administrative expenses related to the trust's exempt purpose. The revenue received by the trust was primarily employer and participant contributions, with the remainder being investment income, rebates, and refunds from insurance carriers, and transfers from other trusts to fund plan liabilities transferred to this trust.

Operating model

Revenue model
Earned-program. 90% of the money available for current operations came from fees and other program revenue.
Distribution model
Member-benefit provider. The nonprofit used 100% of its reported program spending for member benefits.

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: 89
  • Transparency & Controls: 90
  • Accountability: 70
  • Sustainability: 34
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 99.7%; rating input score 100
  • Program expense ratio: 99%; rating input score 99
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 68th percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 77th percentile among comparable filings
  • Governance controls: 2 of 9 controls in place; rating input score 29
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: Limited
    • Other executive compensation review process: Limited
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Fail
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -0.7%; rating input score 23; 23rd percentile among comparable filings
  • Total-asset coverage ratio: 0.06; rating input score 2; 2nd percentile among comparable filings
  • Liabilities to assets ratio: 0; rating input score 99; 99th percentile among comparable filings
  • Officer compensation ratio: 0%; rating input score 96; 96th percentile among comparable filings

Growth

  • Program expense growth: 7.8% per year; rating input score 100; 63rd percentile among comparable filings
  • Revenue growth: 6.3% per year; rating input score 100; 55th percentile among comparable filings
  • Asset growth: 14.7% per year; rating input score 100; 85th percentile among comparable filings

Details

  • Where the money goes: 99.7% of revenue deployed · 99% of spending went to programs
  • Governance: 1 of 1 board members independent · 2 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $532.7M in reported program spending
  • Leadership: top reported pay $6K · 1 people listed
  • Highest-paid contractors: 5 contractors listed · $4.9M reported
  • Consistency: 18 of 18 current checks pass
  • Schedules: 3 filed schedules
  • Filing history: 8 filing years from 2016 to 2024
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • 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: 5 of 7 not reported.
  • High — Sustainability: Operating margin scored 23/100.
  • High — Sustainability: Total-asset coverage ratio scored 2/100.