Regulatory Capital Requirements

9 Months Ended

Jan. 31, 2015

Banking and Thrift [Abstract]

Regulatory Capital Requirements

NOTE 15: REGULATORY CAPITAL REQUIREMENTS

The following table sets forth HRB Bank's regulatory capital requirements calculated in its Call Report, as filed with the Federal Financial Institutions Examination Council (FFIEC):

(dollars in 000s)
	Actual				Minimum Capital Requirement					Minimum to be Well Capitalized
	Amount		Ratio		Amount		Ratio			Amount		Ratio
As of December 31, 2014:
Total risk-based capital ratio (1)	$	611,704	87.4	%	$	55,964	8.0	%		$	69,955	10.0	%
Tier 1 risk-based capital ratio (2)	602,908		86.2	%	N/A		N/A			41,973		6.0	%
Tier 1 capital ratio (leverage) (3)	602,908		49.6	%	145,865		12.0	%	(5)	60,777		5.0	%
Tangible equity ratio (4)	602,908		49.6	%	18,233		1.5	%		N/A		N/A
As of December 31, 2013:
Total risk-based capital ratio (1)	$	517,031	72.5	%	$	57,023	8.0	%		$	71,279	10.0	%
Tier 1 risk-based capital ratio (2)	508,015		71.3	%	N/A		N/A			42,768		6.0	%
Tier 1 capital ratio (leverage) (3)	508,015		37.1	%	164,404		12.0	%	(5)	68,502		5.0	%
Tangible equity ratio (4)	508,015		37.1	%	20,550		1.5	%		N/A		N/A
As of March 31, 2014:
Total risk-based capital ratio (1)	$	563,899	168.5	%	$	26,771	8.0	%		$	33,464	10.0	%
Tier 1 risk-based capital ratio (2)	559,572		167.2	%	N/A		N/A			20,079		6.0	%
Tier 1 capital ratio (leverage) (3)	559,572		32.1	%	209,041		12.0	%	(5)	87,101		5.0	%
Tangible equity ratio (4)	559,572		32.1	%	26,130		1.5	%		N/A		N/A

⁽¹⁾  Total risk-based capital divided by risk-weighted assets.

⁽²⁾  Tier 1 (core) capital less deduction for low-level recourse and residual interest divided by risk-weighted assets.

⁽³⁾  Tier 1 (core) capital divided by adjusted total assets.

⁽⁴⁾  Tangible capital divided by tangible assets.

⁽⁵⁾  Effective April 5, 2012, the minimum capital requirement was changed to 4% by the OCC, although HRB Bank plans to maintain a minimum of 12.0% leverage capital at the end of each calendar quarter.

Quantitative measures established by regulation to ensure capital adequacy require HRB Bank to maintain minimum amounts and ratios of tangible equity, total risk-based capital and Tier 1 capital, as set forth in the table above. As of January 31, 2015, HRB Bank's leverage ratio was 31.2%.

To the extent our Holding Companies continue to be SLHCs, our first Federal Reserve regulatory filing disclosing our SLHC regulatory capital ratios will be due in May 2015 with respect to the calendar quarter ending March 31, 2015. Consistent with our past practice regarding HRB Bank’s regulatory capital ratios, we will include H&R Block, Inc.'s regulatory capital ratios in the periodic filing immediately following our quarterly regulatory filing with the Federal Reserve.