Today, half of all bill payments are digital—and that number is expected to reach 75% by 2022. Consumers both want and expect digital payment options, parents and families included. Technology is empowering an increasing number of school districts to go cashless by offering digital payment options for fee collection.
What does it mean to be a “cashless” school? Cashless school districts rely on digital payment solutions for fee collection to adapt to modern payment preferences and eliminate the risks associated with cash handling. With ongoing pressure from stakeholders for more mobile-friendly payment options, many school districts are adopting digital payment solutions such as ActivityRight to help them in their efforts to go cashless.
Digital payment solutions allow school administrators to collect fees without the hassle and additional manpower associated with paper forms and cash handling. Offering digital payment options is a highly effective way to simplify district operations and facilitate more collaboration across departments. Read on to learn more about the benefits of becoming a cashless school district.
Benefits of Becoming a Cashless School District
Aligning with modern preferences is one of many reasons to explore cashless school initiatives. School systems can also benefit from reducing cash use in a number of ways:
Going cashless, by offering digital payment options for parents and families, helps simplify processes associated with fee collection and cash handling with automated workflows. Many school districts struggle with systems in silos and inefficient processes that prevent them from advancing. By reducing cash use and offering digital payment options for fee collection, school districts can break down those barriers and remove the silos that impede productivity.
Manual processes tend to lead to mistakes and prevent schools from operating efficiently. School districts can make smarter use of their manpower and improve efficiency by cutting down on the number of hours that staff spend managing administrative tasks. By exploring digital payment options, school districts can eliminate excess paperwork and the need to physically collect and deposit cash fees, ultimately allowing for increased operational efficiency and reducing workloads across the board—especially for the finance department.
Cash payments increase the risk of lost funds, under- or overpayment, and even the potential for fraud. Cash also provides inadequate visibility into the usage of school funds, which makes it difficult for administrators to allocate dollars correctly. Online payments are also more secure than cash and help eliminate unnecessary paper trails and cash misappropriation by allocating school-generated funds directly to the appropriate accounting codes. Integration with existing student information systems (SIS) and accounting or general ledger (GL) software also means less manual data transmission and a reduced risk of error.
A number of school districts are exploring digital payment solutions to offer more modern, secure payment options and simplify fee collection to operate more efficiently. An integrated, mobile-friendly payment solution for schools provides a centralized location for administrators to manage all district activities, from fee collection and parent and family engagement to collaboration across school departments. ActivityRight is a highly effective digital payment solution for becoming a cashless school district, backed by a team who collectively bring decades of experience in parent engagement and compliance.
Is your district ready to offer digital payment options? Download How to Help Your Organization Become a Cashless School System to learn more about the K-12 trends driving the cashless movement, the benefits of becoming a cashless school, and the steps administrators need to take in order to make the transition in their districts.