Education Funding
Education news, analysis, and opinion about money, financing and budgets on the federal and state levels and coverage of philanthropy to schools
See also: Federal Budget/Funding, State Budgets/Funding, ESSER Funds
How much does the U.S. spend on education?
The U.S. spent about $946 billion on public K-12 schools in 2022-23, the most recent year for which statistics are available. The money comes from federal, state, and local governments, and the percentage coming from each source varies between and within states.
The average per-pupil spending was $16,526 in 2022-23, but four states (Connecticut, New Jersey, New York, and Vermont) and the District of Columbia spend more than $25,000 per student. On the other end of the spectrum, two states (Idaho and Utah) spend less than $11,000 per student on average. Read more statistics about U.S. schools.
Per pupil spending nationally in 2022-23 was up 5.7% over the previous year, not adjusted for inflation. This school year was one in which schools were spending federal pandemic relief aid. The federal government in 2020 and 2021 provided $190 billion in one-time, pandemic relief aid for education that schools had multiple years to spend. Read more about the impact of ESSER funds.
The average per-pupil spending was $16,526 in 2022-23, but four states (Connecticut, New Jersey, New York, and Vermont) and the District of Columbia spend more than $25,000 per student. On the other end of the spectrum, two states (Idaho and Utah) spend less than $11,000 per student on average. Read more statistics about U.S. schools.
Per pupil spending nationally in 2022-23 was up 5.7% over the previous year, not adjusted for inflation. This school year was one in which schools were spending federal pandemic relief aid. The federal government in 2020 and 2021 provided $190 billion in one-time, pandemic relief aid for education that schools had multiple years to spend. Read more about the impact of ESSER funds.
How much of public education is funded by the federal government?
12.7% of funding for K-12 public schools came from the federal government in 2022-23. In the four years before that, the federal government on average provided about 10% of total funding. The big jump over that time was mostly due to pandemic relief aid for schools. Read more.
Where does the funding for public schools come from?
According to the Census Bureau, almost 45% of public school funding came from states in 2022-23 and about 43% came from local sources, predominantly from local property taxes. In 2022-23 12.7% of all K-12 school funding came from the federal government. The federal share in 2022-23 was larger than in most years, as this was one in which schools were spending one-time pandemic relief aid.
The largest sources of federal school money pay for school lunch programs, services for low-income students (Title I), and services for students with disabilities (Individuals with Disabilities Education Act). Read more.
The largest sources of federal school money pay for school lunch programs, services for low-income students (Title I), and services for students with disabilities (Individuals with Disabilities Education Act). Read more.
What qualifies a school for Title I?
Seventy percent of schools receive Title I funds. Schools get these grants based on the number of school-age children who live in their area and are from low-income families or are homeless, in foster care, or in facilities for neglected or delinquent children. Those children do not necessarily attend the districts’ schools. But, if at least 40% of a school’s students are from low-income families, the school can implement a schoolwide program and provide Title I-funded services to all students and not just those who themselves come from low-income families. More than 90% of students who receive Title I services are in schools with schoolwide Title I programs. Learn more about Title I.
- Education Funding Webinar What Schools Need to Know About the Federal Education Freedom Tax CreditSponsorThis content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.What schools need to know about the federal Education Freedom Tax Credit: A practical guide from a licensed teacher and policy expert.
Education Funding Federal Tax Credits for K-12 Scholarships: What We Know (and Don't)The Trump administration is preparing to issue rules for its new, ambitious school choice program.
Education Funding Trump's Education Funding Maneuvers Were Illegal, Judges RuleJudges ruled in suits about teacher-training grant cancellations and withheld education research money.
Education Funding What 'Returning Ed. to the States' Looks Like as the Ed. Dept. Awards GrantsState leaders face requests for letters of endorsement from grant applicants under new priorities.
Education Funding Ed. Dept. Risks Letting $180 Million for Research Expire as Deadline LoomsSpending by the agency's research arm has lagged most significantly compared with previous years.
Education Funding Averting a Shutdown, Congress Punts Federal Spending Decisions to DecemberFederal funding talks will continue into December as Congress agrees to avoid a shutdown.
Education Funding Education Department Will Keep Sending Most K-12 Funds Through Its Own SystemThe agency will send formula funds through its own system again despite program shifts to other agencies.
Education Funding Video What's in Store for School Funding for 2026-27?A new education tax credit, federal budget negotiations, and more are in store.
Education Funding Trump's Education Department Is Letting Tens of Millions of Dollars ExpireEducation Week found the agency didn't spend its full budget last year and appears on track to do so again.
Education Funding From the Feds on Down, School Funding Is Uncertain. What to KnowFederal turbulence during the Trump administration highlights the precarity of state and local funding, too.
Education Funding Trump Cut Their Education Grants. Here’s What Happened NextGrantees whose work ground to a halt last year lament broken promises and abandoned projects.
Education Funding School Pregnancy Prevention Efforts Shut Down as Trump Emphasizes AbstinenceThe administration has canceled funding for more than 50 teen pregnancy prevention programs.
Education Funding Federal English-Learner Grant Returns This Fall Under New OversightThe national professional development grant program has experienced upheaval in the last year.
Education Funding Explainer Big Changes to Federal Grants Are Coming: What They Could Mean for SchoolsThe White House is proposing sweeping regulatory changes for federal grantmaking.
Education Funding Schools Lay Off Staff as Lawsuits Challenging Federal Grant Cuts ContinueRecent lawsuits have challenged federal grant cuts affecting special education and English-learner teachers.
