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of the administrative vice-presidents, the interpretation and imposition of a uniform and unified executive policy, the business organization has emerged from its primeval chaos into a smoothly running harmonious machine, functioning in the same manner and as effectively as any well managed private corporation. Dividends are in sight; no company rewards its stockholders the first year after its reorganization.

The Director claims out of this total reduction that the economies and savings incident to the new imposition of Executive control, the constant Executive pressure for economy, the institution of co-ordinating agencies, and the constant check kept upon such expenses amount to $250,134,835.03. The difference between this amount and 907 million plus is pone the less a saving because it cannot be traced to any one source. Suppose it is all the result of worthy emulation. Then everybody who participated is entitled to his share of the credit.

Budget for 1923 The budget for 1923 as presented to Con. gress indicated total estimated receipts of $3,338,182,750, and total expenditures, including reduction of the public debt, of $3,505,754,727. This shows a reduction in the estimate of ordinary expenditures for 1922 of substantially a billion and a half, as compared with the same expenditures for 1921, and as respects the estimated expenditures for 1923, a further reduction of substantially $450,000,000 under 1922.

In the preparation of the 1923 budget the same limitations were imposed upon the activities of the Bureau as in the reduction of the 1922 expenditures. Of the total estimated expenditures for 1923 of $3,505,000,000, over $2,000,000,000 is outside of any control of the Budget Bureau, being either expenditures fixed by Congress not subject to modification by Executive control, investment of trust funds, or interest and reduction in principal of the public debt, and other expenses growing out of the war which must necessarily be paid.

The reduction accomplished is all from the ordinary expenditures for operation of the routine business of the Government generally subject to Executive control. The proper basis of any percentage comparison, therefore, is not against the total estimated expenses of 1922 of over $3,900,000,000, but the reduction is really from the ordinary expenses of the routine business of Government which for 1922, as revised in March, was $1,765,000,000, a percentage of reduction, therefore, of substantially 27 per cent. instead of the apparent reduction of only about 12 per cent.

Within a few months the business of Gov. ernment (not the Government) has been completely reorganized. Without legislation, without the transfer of a bureau from one department to another, without the elimination of regrouping of any activities, but simply through the co-ordination of the efforts

WILLIAM ROCKEFELLER'S WILL PROVIDES FOR TRUST COMPANY

ADMINISTRATION The provision in the will of the late William Rockefeller, who died June 24th at his home in Tarrytown, N. Y., authorizes the trustees of the estate to employ a trust company to act as custodian of the property of the decedent and also to appoint a trust company to act as associate in the handling of the estate which is variously valued at from $150,000,000 to $250,000,000. The will which was filed for probate in the Surrogate's Court, leaves the bulk of the estate to the four children of the deceased. The executors are William G. and Percy A. Rockefeller and John A. Garver.

The will was executed on September 5, 1919, only a short time before the death of Mrs. Rockefeller, which occurred in January, 1920. When the document was drawn by Mr. Rockefeller he established for her benefit an $8,000,000 trust fund and also bequeathed to her various properties. The residuary estate was left in equal parts to the four children of Mr. Rockefeller.

To his son, William G. Rockefeller, and to his daughters, Mrs. McAlpin and Mrs. Dodge, Mr. Rockefeller left their shares of the estate in trust. To Percy A. Rockefeller, his father left absolutely three-fourths of the latter's share of the estate, directing that the remaining one-fourth be held in trust under the same stipulations governing the trusts established for the other three children.

The trust funds established for each of the children are such that the income from their shares is to be paid to the legatees during their lifetime, and at their death the principal is to pass to their issue. Another provision of the will is that the executors and trustees shall receive as compensation for their services. $100,000 each in lieu of the commission allowed to them under the law.

The late Mr. Rockefeller was director in a number of corporations and financial institutions, including the United States Trust Company of New York.

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SUCCESSFUL OPERATION OF INSURANCE SAVINGS PLAN

GAINING ONE HUNDRED ACCOUNTS A MONTH

ELAINE CLABROU
Service and Extension Department, The Peoples State Bank, Indianapolis, Ind.

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(EDITOR'S NOTE: The utilization of life insurance as a means of stimulating savings tetuunts has been succexsfully demonstrated, and is one of the latest developments in extension of banking service. The merit of the following article is that it describes a plan which has been worked out by experience, and in a short time has been successful beyond expectations.) XPERIENCE showed that two It has been our experience that the ac

things were essential in properly in count cannot be presented properly, and with

troducing our Insured Savings l’lan. good results by advertising alone. There One ras that the distribution of the account must be a personal contact with salesmen, le handled by a responsible person with a and we are sure that wherever an attempt competent sales staff under him and that

has been made to sell the account by adverordinary life insurance or some form of tising and without an experienced sales staff iusurance which paid a greater commission the cost to the bank has been exorbitant. to the individual distributing the account

When we refer to an experienced sales staff Tas necessary

we mean a staff of men who have had at We began a thorough study of the plan. least three or four months' experience with From our experience we dereloped a plan the account. which is now in use, and which is gaining

Description of Plan actutints for us at the rate of about one hundred a month. We find that the greatest

Our plan has as its unit a monthly debenefit from the plan comes by reason of the

posit of $10. Immediately after the account fact that we are able to employ a staff of

is opened a life insurance policy for $1,200 sis capable salesmen as representatives of

is issued by a reputable company. The the bank to present the special savings plan

regular physical examination is required. in our city. This is a permanent organiza

Premiums are deducted from the account tion thoroughly schooled in the details, not

at six months' intervals. Interest is added only of the plan but of the other services of

at our regular interest paying periods and our bank. Careful attention is given to each

dividends are credited to the account when one of the salesmen in an effort to thorough- authorized by the insurance company. ls instruet him in the functions, the aims

The plan works out in such a way that at and the ideals of our institution. Primarily

age thirty a depositor, after ten years in the he goes out to sell savings accounts; actu

plan, will receive approximately $98 more ally he is constantly selling our bank to all

than he has paid into his account if he classes of people. We derire a substantial

wishes to close it and his insurance prelenefit from this representation because

miums over the full period will have been these salesmen talk to from fifty to one hun

paid. This computation takes into account dred persons erery day. The word of mouth

the cash and loan value of the insurance publicity gained in this way brings substan- policy. By deducting this amount from the tial returns.

cash value of the account at the end of the

tenth year the insurance may be kept in Requires an Experienced Sales Staff

force and carried on indefinitely. No cost of solicitation is borne by this At any age under our plan a depositor institution. The salesmen do not draw sala pays to his account a total of $1,200 in ten ries or commissions from the bank but from years at the rate of $10 a month. Begina representative of the insurance company. ning at age 20 his insurance premium for This representative has a contract with the ten years would total $218.40 or $21.84 annubank.

ally. At semi-annual periods half of the

annual premium is deducted from the ac ONLY GIRL GRADUATE IN BANKING count. To the balance remaining the bank

INSTITUTE COURSE adds interest in May and November. At age Among the conventions upset by the Great twenty this totals approximately $220, de War was the general impression that the pending, of course, on the regularity with business of banking was peculiarly “man's which deposits are made.

work” and that the feminine mind possessed The insurance company issues a partici no aptitude for the intricacies of the science pating ordinary life policy. The dividends of banking. During and since the war payable are added to the account. The policy women have been steadily gaining wider has a cash value of $80 at the end of ten recognition, not only in routine duties but years, at age twenty, in the event the plan is also in more responsible and even executive completely discontinued at that time. This positions. The same holds true in regard is a cash asset which has been built up, and to the number of women and girls who are it is treated as such.

availing themselves of the special or stand

ard courses in banking provided by the Example of How the Plan Works American Institute of Banking. We thus have a simple problem in addition and subtraction : Total period—ten yearsTotal deposited

.$1,200.00 less total cost of insurance.... 218.40

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Total cash value of account....$1,323.18

The policy issued has all extended insurance features. Any type of insurance, in any amount, may be written with our plan. The cancellation or lapsation rate is rather heavy -about 25 per cent.-depending on the proper handling of the account and the customer.

We make the savings account the beneficiary under the policy. Then we make the account payable to any individual or firm selected by the depositor. This enables us to hold the policy in our vaults-potential assets of our depositors or their estates amounting, as you will readily see, to millions of dollars in the case of a large number of accounts. There is considerable detail incidental to

Miss GIULIETTA TALAMINI handling the account. We believe one girl The only girl in a class of forty-seven to graduate this year could very well take care of the accounts ob

in the standard course of the New York Chapter, A. I. B. tained by a staff of ten salesmen. The win To Miss Giulietta Talamini, who combines dow detail is not great. Our plan seems to personal charm with serious study, belongs be very flexible. The monthly deposit of $10 the distinction of being the only girl to is used merely as a unit, and there is a graduate in a class of forty-seven graduates $1,200 unit for insurance. We have deposi- in the 1922 standard course on banking tors who are carrying accounts which range given by the New York Chapter of the in monthly deposits up to $100.

American Institute of Banking in co-operation with Columbia University.

Miss Talamini was formerly employed as Ralph W. Bell, executive secretary of translator at the Guaranty Trust Company Western Reserve University, has become a and the National City Bank of New York. member of the new business department of At present she is employed in the banking the Cleveland Trust Company.

department of Grayson M. P. Murphy.

Taught
By Experience

Up

ORGANIZED

PAT ON

VALUABLE PUBLICATION ON CORPO.

RATE TRUST FACILITIES There are still too many business men and executives to whom the fiduciary and fiscal services rendered by trust companies to corporations, seem like a closed book, wrapped in technicalities and cryptic in language. Very often corporations have to We bring to the handling of grope their way through difficulties, losses

every collection matter the and even reverses that might have been

mature judgment that can avoided before they come to recognize the

be gained only through long essential character of corporate trust serv

and successful experience in ice. Moreover, the trust companies them

such work. selves, because of the seemingly complex and technical character of such services, have Route your items through the not found corporate trusts as susceptible to publicity propaganda as they have personal UNION & PLANTERS trusts. The most complete work on Corporate

BANK & TRUST Trust Service, presenting the facts in compact form as well as adapted to ready com

COMPANY
prehension of the layman, is a book of 125
pages just published by the Fidelity Trust

Memphis, Tenn.
Company of Buffalo bearing the title “In
Witness Whereof." The author is H, F.
Drollinger, manager of the new business de-
partment of that company. The book not

Is 10% of your earning
only bears evidence of painstaken effort but
interprets the various branches of trust, fis-

1869 cal and protective facilities provided for corporations by trust companies, in language that is most interesting. Instead of tbe author assuming that the reader is fa securities in which reserves were invested, miliar with technical terms he writes of as depository for exchange of securities, and each type of service in a way that commands finally as receiver in connection with another attention and creates clear impressions. corporation, the business of which was taken "In Witness Whereof" starts with a ro

over by the Brenton organization. mance entitled "Brenton & Company.” It is The book which is one of the most impora chapter of actual experience encountered tant contributions to trust company literaby practically every corporation that has ture, discusses in a practical yet interesting forced its way through many adversities un style the scope and character of services rentil finally established on a sound business dered by a trust company with separate and financial basis. The corporation encoun chapters devoted to the following subjects: ters many obstacles, and as they arise the Transfer Agent, Registrar, Fiscal Agent unneed and value of trust company service is der Municipal Bond Issue, Trustee under developed through practical illustration. Corporate Bond Issue, Safekeeping Agent, First, there is the practical aid. given by ex Depositary under Reorganization Plan, Disperienced trust company counsel in connec-: bursing Agent, Voting Trustee, Escrow tion with the organization of corporations. Agent, Receiver and Assignee. Then comes the realization of the value of having a trust company take over the responsibilities of transfer agent of stock and The Dupont National Bank of Washingof registrar requiring knowledge of conflict ton, D. C., has been absorbed by the Mering laws and varying requirements. Then chants Bank and Trust Company; the First arose the advisability of appointing the National Bank of Harrisburg, Pa., has been trust company as dividend disbursing agerit, taken over by the Commonwealth Trust as trustee under a voting trust, as trustee Company of that city and the Haymarket under a mortgage for the issue of bonds, as National Bank of Boston has been absorbed financial agent for the care of collateral and by the Massachusetts Trust Company.

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