Treasurer’s Report – The treasurer’s report for the month of July reflects cash transactions which are quite typical for this time of year. The large collection of real estate taxes in July is due to residents paying bills to take advantage of the discount period saving 2% on their tax bills. About 87% of our residents take advantage of this payment option. July is also the first month utilizing our new bank accounts which is reflected in a number of accounts with zero balances. The new accounts are working as intended. The superintendent recommends approval of this report.OK, maybe not worthy of a post, but since there was some discussion about spreading out the tax payments, I thought it was interesting that 87% of us take advantage of the discount period in order to save 2% on our taxes.
Thursday, August 9, 2012
School Board Agenda Part 2...Saving 2%
There is too much going on with the August 13 agenda to have it all in one post, so I thought I would break it up into parts. Here's Part 2...Saving 2%.
I don't believe it. But then again, if you paid $650,000 For your house and it's only assessed for $187,000 you might pay it ASAP.
ReplyDeleteI wonder also if the number is so high because many homes have their taxes paid by the mortgage company. Which brings up the question, if the bank pays to save the 2% is that saving reflected in your escrow account? I never thought about it, but those with mortgages might want to check. Why should the bank keep the discount?
The mortgage company pays on the date due. So they (as the company that receives the bill from the municipality) gets the bill that says taxes are due on June 1 or whatever it is.
ReplyDeleteThey don't think twice, they just pay what is on that bill.
But yes, any person with a mortgage where the tax bill goes to the mortgage company instead of the homeowner, would pay the bill with the discount. There are certainly some people that either have the bill mailed directly to themselves in which case they can choose when to pay, or they own their home free and clear and can choose when to pay.
It's safe to say if your bill goes to your mortgage company, you get the discount automatically.
Why are the monthly bills always described as "typical/"
ReplyDeleteWe know at least one administrator's salary that isn't "typical."