CharityWatch's rating of Ronald McDonald House Charities (RMHC) is for the National Office and does not include the financial activities of the independent RMHC Local Chapters. According to the RMHC audit of December 31, 2024 (Note 1 re: Organization):
"...RMHC fulfills its mission by creating programs that address targeted needs and by supporting these programs and other activities conducted by its RMHC Local Chapters (Chapters) worldwide. Ronald McDonald House Charities is a system of independent, separately registered public benefit organizations, referred to as 'Chapters' by RMHC. Each Chapter is licensed by McDonald's Corporation and RMHC to use RMHC related trademarks in conjunction with identifying its charitable organization, fundraising activities and the operation of its programs; the license agreement also sets standards of operations for programs, governance, finance, branding, and reporting..." |
According to the Ronald McDonald House Charities (RMHC) audit of December 31, 2024 (Note 7, Contributed Nonfinancial Assets): RMHC received contributed nonfinancial assets during fiscal 2024 on which it placed a total value of approximately $37,848,000. Of this amount, $30,037,000 was attributed to "Advertising." [Note: CharityWatch generally excludes the value of in-kind (non-cash) donations of goods and services from its calculations of Program % and Cost to Raise $100. More information on how grades are calculated and the treatment of in-kind donations can be found on the Our Process page.] |
According to the Ronald McDonald House Charities (RMHC) audit of December 31, 2024 (Note 9, Concentrations): "McDonald's Corporation provides support to RMHC through donated goods and services...direct contributions, and facilitation of fundraisers at its company-owned and franchised restaurants, of which the proceeds collected are remitted to RMHC. Contributions from these efforts totaled $103,093,000 and $83,634,000, during the years ended December 31, 2024 and 2023, respectively. This represents 57% and 60% of total revenues, of which $13,265,000 and $11,553,000 are included in contributions receivable as of December 31, 2024 and 2023, respectively." |
According to the Ronald McDonald House Charities (RMHC) audit of December 31, 2024 (Note 8, Related Party Transactions): "RMHC provides ongoing program grants to all of its Chapters around the world. These program grants are pre-authorized by the board of RMHC for the benefit of all Chapters. The grants are available to all Chapters that meet the program parameters; as such, the individual grants do not require any additional board action. Grants totaling $4,829,000 and $2,003,000, during the years ended December 31, 2024 and 2023, respectively, were provided to Chapters where certain members of the RMHC board also serve as officers and/or directors of the Chapter."
According to the Ronald McDonald House Charities (RMHC) tax filing of December 31, 2024, IRS Form 990, Schedule L, Part V, Supplemental Information: Regarding Part IV, Business Transactions Involving Interested Persons: The "Name of Interested Person" is reported as "McDonald's Corporation." The "Relationship Between Interested Person and the Organization" is reported as "Substantial Contributor." The "Amount of Transaction" is reported as $5,268,092 The "Description of Transaction" is reported as "The day-to-day operations of the charity are performed by employees of McDonald's Corporation that are dedicated to RMHC and who work under the direction of independent governing board[s] of Ronald McDonald House Charities, Inc. McDonald's Corporation, as part of its commitment to support RMHC[,] donates certain staff positions, benefits, and human resource support without charge to the charity, therefore, McDonald's Corporation indirectly supervises personnel for other professional services, RMHC has an agreement with McDonald's Corporation to compensate them for duties performed." |
According to the Ronald McDonald House Charities (RMHC) 2024 tax filing: "Chris Kempczinski, Katie Fitzgerald, Enrique Hernandez, Jr., Jon Banner, and Angela Steele, who are McDonald's Officers and Trustees, have business relationships with each other and with the following McDonald's employees, licensees, and suppliers: Rodney Jordan, Joanna Sabato, Shannon Duval, Stacey Bifero, J. Christopher Reyes, Eduardo Sanchez, Wayne Stingley, Nicole Harper Rawlins, Michael L. Thompson, and Jennifer Mann" (IRS Form 990, Schedule O re: Form 990, Part VI, Section A, line 2). RMHC reports having 22 voting members on its governing body at the end of 2024, with all 22 being reported as independent (IRS Form 990, Part VI, Section A, lines 1a & 1b). |