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Red Cross Exec Doesn't Know What Portion Of Donations Go To Harvey Relief

Posted on 8/30/17 at 8:36 pm
Posted by ihometiger
Member since Dec 2013
12475 posts
Posted on 8/30/17 at 8:36 pm


But donors might be surprised to learn the Red Cross won't, or can't say, what percentage of their dollars will go directly to helping the victims of the storm.

Dating back to 2014, NPR and Pro Publica have reported that the Red Cross misstated how donor dollars are spent.

A study released by Sen. Charles Grassley, R-Iowa, concluded that the Red Cross had spent $124 million — one-quarter of the money donors gave for earthquake relief in Haiti in 2010 — on internal expenses.

Stolen Cross
Posted by upgrayedd
Lifting at Tobin's house
Member since Mar 2013
138033 posts
Posted on 8/30/17 at 8:38 pm to
That whole organization is a self serving sham

One step above the Susan G Komen sham
This post was edited on 8/30/17 at 8:40 pm
Posted by PapaPogey
Baton Rouge
Member since Apr 2008
40460 posts
Posted on 8/30/17 at 8:38 pm to
CEO makes about 700k a year which is nearly double the salary of the CEO at United Way

It's a shame that people are so oblivious to the Red Cross BS. I'm not saying it's all bad, because they do a lot and deserve praise in some instances, but there are plenty of better and more honorable organizations out there.
This post was edited on 8/30/17 at 8:41 pm
Posted by kywildcatfanone
Wildcat Country!
Member since Oct 2012
135493 posts
Posted on 8/30/17 at 8:39 pm to
You don't want to know, but I'm guessing less than 20%.
Posted by Cosmo
glassman's guest house
Member since Oct 2003
128963 posts
Posted on 8/30/17 at 8:39 pm to
One quarter going toward non direct aid is better than some

A lot are around 50%

Clinton Foundation only gave 10% out to people in need
Posted by Golfer
Member since Nov 2005
75052 posts
Posted on 8/30/17 at 8:43 pm to
quote:

One quarter going toward non direct aid is better than some


Yeah. 25% overhead isn't great, but its also not in the terrible category. The breadth and scope of the Red Cross is going to require significant overhead.
Posted by Real Pirate
NE LA
Member since Apr 2013
1879 posts
Posted on 8/30/17 at 8:46 pm to
I'll only retain 10% of all your donations for administrative costs. Please donate to my organization. PayPal me @ realpirate@gmail.com
Posted by PapaPogey
Baton Rouge
Member since Apr 2008
40460 posts
Posted on 8/30/17 at 8:47 pm to
Samaritans Purse gives over 80% to charity. Other % is fund raising and administrative expenses.
Posted by airfernando
Member since Oct 2015
15248 posts
Posted on 8/30/17 at 8:48 pm to
quote:

That whole organization is a self serving sham
They're all shams. Just a way to make big time salaries (administrative costs). Most of those scams send out at most 69%.
Posted by Golfer
Member since Nov 2005
75052 posts
Posted on 8/30/17 at 8:48 pm to
If you have a single focus, and local mission and donor-base...you can achieve 10% admin numbers...
Posted by PapaPogey
Baton Rouge
Member since Apr 2008
40460 posts
Posted on 8/30/17 at 8:50 pm to
Do a little reading on AMC. They're fund raising numbers are staggering, but where the money goes is the question.
Posted by TigerFanInSouthland
Louisiana
Member since Aug 2012
28065 posts
Posted on 8/30/17 at 8:52 pm to
quote:

That whole organization is a self serving sham One step above the Susan G Komen sham


Wounded Warrior Project is pretty bad from what I've heard too.
Posted by CptBengal
BR Baby
Member since Dec 2007
71661 posts
Posted on 8/30/17 at 8:54 pm to
quote:

w, but I'm guessing less than 20%.


the number, based on their history, is more like 5-10%
Posted by crazyLSUfan
LA (Lower Alabama)
Member since Aug 2006
6698 posts
Posted on 8/30/17 at 8:54 pm to
Not sure which is more sad, the moderately high overhead or the fact that their leader has no earthly idea what % of donations goes to those in need... I'm fairly certain the latter is more upsetting.

Dude should be fired for those kind of answers.
Posted by Golfer
Member since Nov 2005
75052 posts
Posted on 8/30/17 at 8:55 pm to
quote:

Do a little reading on AMC. They're fund raising numbers are staggering, but where the money goes is the question.



I'm very familiar with how they operate, the sources, of revenue, and their distribution to admin/etc.

I'm merely pointing out that when your organization's mission is broad and also geographically significant...it drives up administrative expenses. And IIRC they have a national 501c3, then regional chapters under separate charters. So, naturally, the HQ in DC where the admin is located and handles the majority of the business operations will have a higher overhead.
Posted by Real Pirate
NE LA
Member since Apr 2013
1879 posts
Posted on 8/30/17 at 8:55 pm to
quote:

If you have a single focus, and local mission and donor-base...you can achieve 10% admin numbers...



Yeah... I gots dat shite
Posted by kywildcatfanone
Wildcat Country!
Member since Oct 2012
135493 posts
Posted on 8/30/17 at 8:57 pm to
quote:

Samaritans Purse gives over 80% to charity. Other % is fund raising and administrative expenses.


Yes, there are organizations that provide most of their funds to the needs and not administrative, and SP is a good example of that.

There is no excuse for less than 75 cents of every dollar not being able to be show to be used on disaster relief. No excuse.
Posted by PapaPogey
Baton Rouge
Member since Apr 2008
40460 posts
Posted on 8/30/17 at 8:58 pm to
Unfortunately a lot of these companies aren't as honest as they lead to believe. I mean what's another 15-20% to pay administrative fees? That's it, these companies make piles of cash and then become greedy like they deserve more for what they are doing, when I'm most cases people think every penny is going to the needy. It's a sham on so many levels.
Posted by GeauxGoose
Nonya
Member since Dec 2006
2666 posts
Posted on 8/30/17 at 8:59 pm to
I will never donate to Red Cross again and I decided that well before this. After doing a small amount of research on organizations it's realllt troubling what these ceo's make and what percentage goes to actually helping. I DO however donate to Salvation Army when I can
Posted by slackster
Houston
Member since Mar 2009
91274 posts
Posted on 8/30/17 at 8:59 pm to
quote:

CEO makes about 700k a year which is nearly double the salary of the CEO at United Way

It's a shame that people are so oblivious to the Red Cross BS. I'm not saying it's all bad, because they do a lot and deserve praise in some instances, but there are plenty of better and more honorable organizations out there.




This is pretty much how I feel. If their internal costs are 50% of donations, but they can generate $100MM in donations, they're getting $50MM to those in need. An efficient organization that gets 95% of the money to those in need isn't as impactful if they can only generate $10MM in donations.

Red Cross is like the Wal-Mart of non-profits - slim margins on huge volume. There is something to be said for the volume they can bring in nonetheless.
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