9 Charities with Highest Overhead Costs | Full list with Details

An increase in the costs of necessities can make insecure a household, a business, or even charities in this case. While many nonprofits have strong financial accountability, some charities go out of their way to fulfill the needs of the programs they offer.

With more than 90% of their funds being categorized as overhead expenses, their ratings suffer from a negative image. Charities that serve the disabled and veterans or offer scholarships and grants to direct families to work on extremely thin finances for their own management. Despite their high overhead costs, they have soundly managed to serve their communities with quality programs and services to help them flourish in the future. 

Here are 9 Charities with High Overhead Costs:

1. Law Enforcement Legal Defense Fund

Their mission is based on the support and defense of law enforcement. The officers in their team have devoted their lives to serving the Constitution of the United States. By educating the public, they also minimize the threats to law enforcement personnel needed to build a respectful society.

They support the wrongfully accused officers by providing a defense counsel and covering the subsistence costs. Apart from this support they work to raise awareness of the risks to livelihood, health, and safety of the nation’s law enforcement and further reward the exceptional private citizens with recognition for defending and protecting the law in official matters.

They have a total overhead cost of 82.4%. Charity Navigator rates them a perfect 4-star while GuideStar recognizes their talent with a Platinum Transparency seal. 

2. Defeat Diabetes Foundation

Established nearly 3 decades ago, this foundation is based on research and its implementation for acquiring near-accurate results. By identifying the various reasons, they prevent and manage one rapidly growing issue, type 2 diabetes.

They devise community-based programs to create a more humble and positive impact which also helps them to reach faraway or secluded communities. Apart from raising donations for their extensive research, they maintain a blog for leading an active lifestyle by eating healthy every day with new recipes and updating the new risk factors.

For those suffering mental and physical complications, DDF has set up a community-based support group with the target of achieving an active lifestyle. They channel 83.2% of their funds received into the betterment of others’ lives. 

3. Police Athletic League of New Jersey

Found in 1991, PALNJ offers state-wide programs and camps for kids in New Jersey. Their aim is to serve children with high-quality athletic programs that will help them become more engaged, caring, and capable. They offer their services in baseball, soccer, lacrosse, cheerleading, basketball, football and tae kwon do.

All these activities hold an outstanding record for winning several competitions in their community. Annually they hold their summer camp, which includes fun activities like paper mache, collage, ceramics, candle making, softball, Wiffle ball, ping pong, swimming lessons, and much more to involve participation from everyone.

This resulted in their overhead cost of 84.1%, with nearly 10% for management and the rest for fundraising expenses. Charity Navigator rates them at 68%. 

4. National Caregiving Foundation

For over 30 years, their mission has been to meet the needs of people suffering from catastrophic diseases in our society. They use their time to provide education for certain symptoms, remedies, and prevention.

Through their mailing kits, they offer free Support Kits and packages that include educational material and items of use for the caregivers and their patients. Since caregiving can be distressing, they make sure to appreciate their hard work, provide them with regular breaks, and offer support whenever needed to keep them happy.

The total overhead expenses are 87.7%, of which 19.7% are inclined toward management and other general expenses. Charity Navigator provides them with a 1 star rating. 

5. National Vietnam Veterans Foundation

Since 1982 they have been working for the promise never to forget those who served and sacrificed in the Vietnam War. Every year they host a daily reading for reading the names of all those who gave up their life to protect their country; this mobile exhibit has also portrayed itself as an education center.

As the trailer carries photos of service members along with the items representative of them left by their loved ones. This legacy of healing has visited more than 400 communities since its unveiling in 1996. The staff at this charity actively takes care of the National Park Service and the Wall with names on it. With more than 100 volunteers, they continue to do so with all the necessary equipment required. By publishing resourceful educational material, they aim to honor and preserve the true service of the war and educate future generations along with it.

Their total overhead costs come to 88.5%, out of which 86.9% is kept aside for fundraising expenses. Charity Navigator rates them a solid 88%, keeping in mind their utmost respect for the veterans. 

6. Autism Spectrum Disorder Foundation

The financial burden keeps increasing as parents struggle to meet the treatment expenses and other services. ASDF works to fund multiple programs which benefit autistic child and support their families.

For a decade, they have directly assisted over 5,000 families with their financial needs while giving autism awareness information to more than 5,000,000 new mothers across the nation. In the last two years, they assisted 900 families with iPad and holiday gift cards. The programs offered include swimming therapy for improving speech control, social skills and coordination, an Autism Awareness Program which led to the distribution of 5 million books to new mothers and Equine Therapy sessions to familiarize a bond with horses and improve movements, emotions and encourage bonding.

With the help of their partners, they host social skills camps to help children participate and engage in educational and fun activities to boost their growth. Their overhead expenses reach 90.4%, while 89.2% of the funds are used for raising more donations. Charity Navigator rates them a 0 star.

7. California Police Youth Charities

This nonprofit charity works to establish a relationship between the enforcement community and the youth of California.  Since 2002 their productive actions have positively changed the lives of many children. All the activities have a fun and educational aspect linked to it. While this ceases the gap between these two communities, they also spread awareness about the harmful effects of drugs, alcohol and gun violence.

With generous support from their donors, advisors, contributors, and local partnerships, they came up with a game day for kids to experience the true spirit of basketball along with its professional athletes. The dedication they have given to their charity has led to some real and positive growth, along with numerous sports communities being formed based on scholarships.

90.8% of their funds are used for their multiple programs out of which 6.1% are used for management and other expenses. Charity Navigator rates them a 0-star rating. 

8. Firefighters Charitable Foundation

FFC assists fire and disaster victims by volunteering in the fire departments. By spreading first aid education, they train people to support themselves and help others in need. They help with medical care or rehabilitation, housing, food, clothing, medical supplies, educational training, and scholarships by directly aiding the victims and their families.

Their provision of the above list is also extended to other charitable trusts. Apart from donations, the supply of hygiene kits and volunteering is highly appreciated.

93% of the funds are used under overhead expenses out of which 87.8% are used for fundraising. Charity Navigator rates them a 29%. 

9. Walker Cancer Research Institute

Founded in 1981, their goal was to fund effective treatments to cure cancer. With two advanced research labs based in Maryland and Florida, they also provide information of about early cancer symptoms and treatment options.

Since many of the anticancer drugs contain natural herbs, they performed several expeditions in the rainforests of South America, trying to find several better alternatives. Their aim is to explore new treatment approaches and develop chemotherapeutic agents to eradicate this infamous disease.

Their overhead expenses amount to 96.4%, out of which 91.1% are channeled for fundraising while the rest is used as general expenses. 

Final Thoughts

Often charities encourage more volunteer participation ad donation of gifts. This helps them carry out their operations easily without too much stress to their finances. While they have to take care of their grants, programs, services, management, general expenses, and compensation for the CEO, they are already doing an appreciable job at it.

As an individual receives care in any format provided by the above nonprofits, more than one life is getting a chance to dream and work again. This positive cycle of helping others has accomplished the goal of several charities across this globe and made a close-knit community.