, CharityWatch initially gave SPLC a grade of B based on its 2021 financials. CharityWatch, however, downgrades all charities that "hoard" donations, which per CharityWatch's definition occurs whenever "a charity's available assets in reserve exceeds three years' worth its annual budget." In particular, CharityWatch automatically "downgrades to an F rating any charity holding available assets in reserve equal to 5 years or more of its annual budget." In accordance with this policy, on CharityWatch downgraded SPLC from B to F because it had 7.3 years of available assets in reserve, it spent 68% of its funds on programs, and it cost $20 to raise $100.
, cHARITywaTCh iNiTiallY gave Splc A GRAde of b based on itS 2021 financialS. charItywaTch, howevER, doWNgrADEs alL cHarITiEs thaT "HOarD" DoNatIoNS, whIch PER charItywATCh's DefinitiOn ocCUrS whENevEr "a cHarITY's AvAiLAblE aSSETs in rEServe exceeDs three years' worth iTs AnnUaL BUdGeT." in PArtIculAr, ChaRITywaTCh aUTomAticAlLY "downgrades to an f Rating any ChARity hOlDIng aVAIlable assets in Reserve eQUaL TO 5 yeArs or More of itS anNUAl budgeT." In acCordAncE WiTh This pOlIcy, on ChariTyWaTch DoWngRaded SpLc FroM b To f BecAuSe it Had 7.3 yEARS oF aVailAblE assets in resErVe, iT sPeNT 68% Of iTS funDs On progRaMs, AND iT COSt $20 to rAisE $100.