NYSAC Summer Magazine

Our CEO Joe Rulison was recently featured giving an in depth analysis of our cash analysis approach in the NYSAC (New York State Association of Counties) Summer Magazine. This is a great read for all and we hope you enjoy it.

NYSAC Summer Magazine

CLICK HERE TO READ THE ARTICLE

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See Us At These Upcoming Events and Conferences:
NYSCTFOA Summer Conference – August
Ohio GFOA – September
GFOA SC – October
PA GFOA – October

Being Mobile, Part II

Our June 27, 2017 blog discussed the significant transition to mobile banking that is occurring. To quickly rehash, we are only a few years away from having the Millennial Generation as the majority in the nation’s workforce. These will be the people who are purchasing houses, paying property taxes, consuming electricity, seeking licenses/permits, and saving for their children’s college. The higher education world is already heavily interacting with Millennials.

 

Being Mobile, Part II

 

This is the generation that doesn’t use checks. So how does your organization plan on taking their payments?

We noted earlier that one of the biggest impediments to transitioning away from checks is charging so-called “convenience fees.” There is a need to move away from the inefficiencies of cash, checks, and in-person payments. But these darn convenience fees are keeping vast numbers of people from making payments electronically. As noted, very few people, if any, are eager or willing to pay an additional fee when making tax or similar payments. I can hear you asking, “So what can we do? We can’t afford or are ‘not allowed’ to absorb the interchange fees,”

Being Mobile, Part II

Rest assured, your organization is not alone in this. So let’s learn from each other.

Start by recognizing that cash, checks, and in-person payments are inefficient—meaning there is already a cost and you are already paying it. Consider offering your constituents a transition period. This helps both you and them prepare for the change. Then consider some of the following options, each requiring you to study the pros and cons, but each capable of moving you along the path to increasing your electronic receipts:

Uniform convenience fee: As we’ve said, cash, checks, and in-person payments are expensive. Unless specifically prohibited by law in your state (and I don’t know of any that do), you can apply a uniform convenience fee to all payment types. Then people will pick the type most convenient for them—and likely for you, too.

No convenience fee: We see that those who do not charge a convenience fee enjoy a far greater volume of electronic payments. It’s not really all that radical. This option impacts the pricing of all services. You just need to figure out how much all fees need to go up to absorb the costs associated with increased electronic payment receipts. Cost increases spread across all services may not be that noticeable in any one transaction.

Give multiple electronic options: More and more smartphone and tablet apps are coming out each year as the financial industry seeks to make electronic payments quicker and easier. Each will likely have different pricing structures. Research your options and keep your eyes open for apps that will work best for you and your constituents.

Look at your options: The number of non-traditional financial providers (meaning other than banks) has increased in this era of apps for handheld devices. Check out these providers and see what they have to offer. Innovation is providing opportunities to lower costs for everyone.

As always, we at three+one are here to help you. We continually review all treasury services, seeking new and innovative ways to maximize value of your cash.

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See Us At These Upcoming Events and Conferences:
Ohio GFOA – September
GFOA SC – October
PA GFOA – October

U.S. Treasuries Fit All

U.S. Treasuries Fit All

There is not a single U.S. public or private entity that is not permitted to invest into United States Treasuries. If, for some reason, your Investment Policy Statement (IPS) does not permit such investments, an updated IPS is in order.

U.S. Treasuries Fit All

U. S. Treasuries are issued and guaranteed by the full faith of the United States government and are considered to be the world’s safest investment option.

They meet all legal, safety, and liquidity requirements while providing a yield that’s above most bank deposit and CD accounts.

Consider the following yields on current U.S. Treasuries as of July 7, 2017:

1 month .94%

3 month 1.05%

6 month 1.14%

1 year 1.22%

These rates, representing a major jump in short-term rates, clearly make Treasuries a viable option for your operating cash to work.

Though three+one is not a bank or an investment or financial advisor, our goal is to ensure our clients have the necessary liquidity information they need to put all their cash to work.

If your entity is not achieving a yield of at least .90%+ on your bank deposits, it’s time to consider talking with your banker or Registered Investment Advisor (RIA) about purchasing U.S. Treasuries. Each dollar earned will go straight to your bottom line.

Treasuries will make you look good and keep your taxpayers and/or customers happy!

Happy 4th of July

Happy 4th of July

three+one

Happy 4th of July

Salutes our Great Nation on this

4th of July!!!!

 

**photo taken at Thousand Island Park in the 1000 Islands, Upstate NY
by our CEO Joe Rulison