According to the Veterans of Foreign Wars of the United States (VFW) audit of August 31, 2025 (Note 1, Description of the Organization, Nature of Activities): "The Veterans of Foreign Wars of the United States (the 'VFW') was established in
1899 and chartered by Congress in 1936 and is exempt from Federal income taxes under Section
501(c)(19) of the Internal Revenue Code (the 'IRC'). The VFW’s purpose is to provide fraternal, patriotic,
historical, and education services; to assist worthy veterans; to perpetuate the memory and history of our
dead, and to assist their widows and orphans; to maintain true allegiance to the government of the United
States of America, and fidelity to its constitution and law; to foster true patriotism; to maintain and extend
the institutions of American freedom; and to preserve and defend the United States from all of her enemies. The financial statements of the VFW exclude the financial statements of the various state departments
('State Departments'), and local posts ('Posts') affiliated with the VFW, since the VFW neither controls nor
has an economic interest in such entities."
CharityWatch separately rates Veterans of Foreign Wars of the United States Foundation (VFW Foundation). |
According to the Veterans of Foreign Wars of the United States (VFW) audit of August 31, 2025 (Note 10, Marketing Service Agreement): "The VFW has entered into an agreement with a professional fundraising contractor to conduct a series of
campaigns to enhance the mission, programs, and public awareness of the VFW. As a part of this
agreement, the contractor has certain performance standards that must be achieved with respect to net
income, cost ratios, acquisition of non-member donors and cash flows. With respect to net income, the
contractor must attain a minimum net income on the direct mail campaigns and other programs covered by
this agreement. If the contractor fails to meet the net income performance standard, then the contractor
shall provide VFW with payments in an amount sufficient to cause the net income performance standards
to be met. The net income performance standard was $17,000,000 and $19,288,999 for the fiscal years
ended August 31, 2025 and 2024. The net income performance standard was not met for the fiscal year ended August 31, 2024, and the VFW
recorded a receivable in the amount of $879,752. The balance was collected subsequent to the fiscal 2024
year end."
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According to the Veterans of Foreign Wars of the United States (VFW) audit of August 31, 2025 (Note 12, Related Party Transactions): "The VFW incurs certain expenses on behalf of the VFW Foundation. The total amount charged by the VFW
for these reimbursable expenses amounted to $959,445 and $908,900 for the years ended August 31, 2025
and 2024, respectively. In addition, the VFW Foundation leases office space from the VFW and incurred
rental expense under this lease of $43,647 and $43,212 for the years ended August 31, 2025 and 2024,
respectively. The VFW Foundation also pays the VFW for certain accounting, human resource and legal
services provided by the VFW employees. The VFW Foundation paid the VFW $75,000 and $60,000 for
these services for each of the years ended August 31, 2025 and 2024, respectively.
The VFW Foundation provides certain contributions to the VFW. The total amount of contributions from the
VFW Foundation to the VFW amounted to $5,606,270 and $3,231,160 for the years ended August 31, 2025
and 2024, respectively. As of August 31, 2025 and 2024, the VFW has recorded a receivable from the VFW
Foundation in the amount of $211,324 and $62,723, respectively." |
According to the Veterans of Foreign Wars of the United States (VFW) audit of August 31, 2025 (Note 14, Employee Benefit Plans): "...The VFW has a severance pay plan, which provides benefits to employees upon termination who have
been employed for at least 10 years...The estimated remaining liability for those employees that elected to have
their balance paid out upon separation was $30,157 and $58,245 as of August 31, 2025 and 2024,
respectively... ...The VFW has an executive severance payment plan, which provides benefits to employees upon
termination who occupy an executive position at the time of termination. The estimated liability for such
benefits as of August 31, 2025 and 2024, was $474,259 and $360,183, respectively..."
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