Are Canadians' donations being wasted? MoneySense grades the country's top 100 charities
TORONTO, June 29 /CNW/ – Canadians donate more than $14 billion every
year to charity, but few of us know how and where that money is spent.
Recent studies and newspaper headlines are enough to give any donor
doubts. One investigation revealed that almost one in six Canadian
charities spent more money on running the organization than on the
actual charitable work. Another shows that less than half the money
collected by for-profit contract fundraisers reaches the charities.
address the lack of information about charities available to Canadians, MoneySense
magazine has established the country’s first-ever grading system for
Canada’s 100 largest charities. These grades are not meant to measure
how successful that charity has been at achieving its program goals, but
measure how each charity compares to others in its sector when it comes
to meeting specific financial and governance benchmarks. The full
ranking is in the summer issue of MoneySense, currently on
The MoneySense grade is based
on four criteria:
how much of a donor’s money is absorbed into overhead and how much
actually goes to the cause
how much a charity spends to raise each additional dollar in its
which charities already have years of reserves in their vaults, and
which don’t have enough reserves
red flags such as poor governance and secretive charities that won’t
divulge what they do with our money, even when donors ask
Which charities are tops?
Many Canadian charities received an
“A” grade from MoneySense. Organizations that achieved
high overall grades compared to other charities in their sectors
include: the Mennonite Foundation of Canada, the Tides Canada
Foundation, the IWK Health Centre Foundation, and the Jewish General
Hospital Foundation, to name just a few.
The full Charity
100 listing is available in the summer issue of MoneySense,
currently on newsstands, or by visiting MoneySense.ca.
MoneySense is Canada’s personal finance and lifestyle magazine.
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