Pathways to Education
STAR RATINGCi's Star Rating is calculated based on the following independent metrics: |
✔+
FINANCIAL TRANSPARENCY
Audited financial statements for current and previous years available on the charity’s website.
A
RESULTS REPORTING
Grade based on the charity's public reporting of the work it does and the results it achieves.
Good
DEMONSTRATED IMPACT
The demonstrated impact per dollar Ci calculates from available program information.
NEED FOR FUNDING
Charity's cash and investments (funding reserves) relative to how much it spends on programs in most recent year.
69%
CENTS TO THE CAUSE
For a dollar donated, after overhead costs of fundraising and admin/management (excluding surplus) 69 cents are available for programs.
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OVERVIEW
About Pathways to Education:
Pathways to Education is a 5-star charity with Good demonstrated impact. It is fully financially transparent and has excellent reporting of its results for donors. It has overhead spending within Ci's reasonable range.
Founded in 2001, Pathways to Education works in communities across Canada to reduce high school dropout rates in low-income areas. Its flagship program is the Pathways to Education Program (Pathways). The program offers tutoring, group and career mentoring, transit and lunch vouchers and one-on-one support to enrolled students. The charity teams with public schools, post-secondary institutions, community organizations, families, the government, and corporate donors to run Pathways. Pathways to Education also conducts research on topics related to its mission, releases monthly research summaries, and provides financial aid for post-secondary education to Pathways alumni.
There are 31 Pathways to Education Program locations in eight provinces across Canada. The charity supported 6,209 Pathways students in the 2020-21 school year. In 2020, Pathways to Education introduced an enhanced digital platform, which many locations used to offer services in an online format during the covid-19 pandemic. In F2021, the charity opened three new Pathways Program locations in Quebec, including Matane, Matapédia, and Sept-Îles.
In F2022, Pathways to Education reported $28.8m in total program spending. The charity allocated $19.5m (68%) of spending to program delivery. This money represents funding to Pathways Program Partners, who deliver the flagship program to students in their community. The charity also provided $2.1m (7%) in scholarships to Pathways alumni pursuing post-secondary education or training. Of the remaining program spending, $5.5m (19%) was spent on program growth and $1.7m (6%) on program research and evaluation.
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Results and Impact
Pathways to Education reports that 76% of students in the Pathways program graduate high school, and 69% transition to post-secondary education or training. The charity reports that according to a third-party evaluation, participation in the Pathways program increases adult annual earnings by 19%, increases employment by 14%, and reduces reliance on social assistance by more than 33%.
While Charity Intelligence highlights these key results, they may not be a complete representation of Pathways to Education’s results and impact.
Charity Intelligence has given Pathways to Education an impact rating of Good for demonstrated impact per dollar spent.
Impact Rating: Good
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Finances
In F2022, Pathways to Education had total donations of $11.5m, compared to $6.6m in F2021 and $10.9m in F2020. The charity also received $23.4m in government funding, representing 67% of total revenues. Administrative costs are less than 6% of revenues (less investment income), and fundraising costs are 26% of donations. This results in total overhead spending of 31%. For every dollar donated, 69 cents go to the cause, which is within Ci’s reasonable range for overhead spending.
Pathways to Education has $30.5m in funding reserves, compared to $25.9m in F2021 and $11.6m in F2020. The charity could cover 106% or just over one year of its annual program costs with reserves.
Charity Intelligence sent an update of this report to Pathways to Education for review. Changes and edits may be forthcoming.
Updated on July 28, 2022, by Sydney Olexa.
Financial Review
Fiscal year ending March
|
2022 | 2021 | 2020 |
|---|---|---|---|
| Administrative costs as % of revenues | 5.6% | 6.8% | 9.0% |
| Fundraising costs as % of donations | 25.7% | 30.2% | 30.0% |
| Total overhead spending | 31.3% | 37.0% | 39.0% |
| Program cost coverage (%) | 106.0% | 105.3% | 45.6% |
Summary Financial StatementsAll figures in $000s |
2022 | 2021 | 2020 |
|---|---|---|---|
| Donations | 11,534 | 6,567 | 10,855 |
| Government funding | 23,360 | 26,784 | 20,640 |
| Investment income | 135 | 200 | 244 |
| Total revenues | 35,030 | 33,552 | 31,739 |
| Program costs | 28,803 | 24,640 | 25,539 |
| Administrative costs | 1,944 | 2,264 | 2,824 |
| Fundraising costs | 2,964 | 1,983 | 3,256 |
| Total spending | 33,711 | 28,886 | 31,620 |
| Cash flow from operations | 1,318 | 4,665 | 119 |
| Capital spending | 9 | 21 | 5 |
| Funding reserves | 30,536 | 25,935 | 11,634 |
Note: Ci backed out amortization from administrative costs, decreasing administrative costs by $129k in F2022, $118k in F2021, and $119k in F2020. The charity reported contributions from the federal government for the Canada Emergency Wage Subsidy program and the Canada Emergency Rent Subsidy program as a recovery within expenses. Ci added $1.4m in salaries and wages expenses to program, administrative, and fundraising costs on a pro-rata basis and added $24k in office rent expenses to administrative costs in F2021. Accordingly, Ci added $1.4m to government funding in F2021. As a result, both revenues and expenses increased by $nil in F2022, $1.4m in F2021, and $nil in F2020. The charity does not use activity-based costing to report program, administrative, and fundraising costs. For this reason, Ci reported program, fundraising, and administrative costs from the charity’s annual reports, which reconcile with the charity’s audited financial statements.
Salary Information
$350k + |
0 |
$300k - $350k |
0 |
$250k - $300k |
1 |
$200k - $250k |
1 |
$160k - $200k |
1 |
$120k - $160k |
7 |
$80k - $120k |
0 |
$40k - $80k |
0 |
< $40k |
0 |
Information from most recent CRA Charities Directorate filings for F2021
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Comments & Contact
Comments added by the Charity:
Pathways to Education added the following comment to a previous profile updated. A comment for the 2022 profile update may be forthcoming.
Pathways to Education is a national, charitable organization breaking the cycle of poverty through education. Its award-winning program is creating positive social change by supporting youth living in low-income communities to overcome barriers to education, graduate from high school, and transition to post-secondary education, training, or employment.
Pathways is proud to be evaluated by Charity Intelligence, which helps donors to make informed giving decisions that make the greatest impact. We remain committed to stewarding the financial resources entrusted to us, providing transparent, evidence-driven results, and expanding opportunities to serve more youth and help them build the foundation for a brighter future.
Charity Contact
This email address is being protected from spambots. You need JavaScript enabled to view it. Tel: 416 646 0123