Special Report
Education Funding Infographic

Data: Breaking Down the Where and Why of K-12 Spending

September 24, 2019 3 min read
  • Save to favorites
  • Print

America’s public school system today costs taxpayers over two-and-a-half times more that it did half a century ago—far outstripping changes in enrollment over that time. When federal, state, and local spending is taken together, it stands as one of government’s most-expensive endeavors.

There’s not just one culprit. That increase reflects an array of policy and priority shifts, changes in student demographics, state and federal mandates, built-in cost drivers affecting the workforce, and factors stemming from the economy at large.

Many will argue it’s still not enough, and that the money we are spending is not being distributed in a fair or effective way. Others make the case that massive governmental investment has failed to yield what it should have when weighed against student achievement.

It’s clear, however, that K-12 advocates, politicians, the courts, and others over the years have raised expectations of what schools should provide and to whom, and that it takes money to meet those demands. Here are some significant milestones.

How much does America spend on its public school system?

BRIC ARCHIVE

What are some policy, economic, and legal milestones for school spending and finance in the past half century?

1965 | President Lyndon B. Johnson signs the Elementary and Secondary Education Act, significantly expanding the federal role in K-12 education, with its signature program—Title I— aimed at helping districts cover the cost of educating disadvantaged students.

1973 | The U.S. Supreme Court rules in San Antonio ISD v. Rodriguez that the federal government is not constitutionally mandated to fund schools equitably.

1975 | Congress passes the Education for All Handicapped Children Act, requiring schools to identify all children with disabilities and provide them with a free and appropriate public education. It set federal funding commitments that have yet to be met.

1976 | California’s supreme court rules in Serrano v. Priest that the state is constitutionally required to distribute money “equitably” between districts. It serves as a template for lawsuits in other states and dramatically alters the way schools are funded, namely the infusion of state tax dollars to equalize spending distribution.

1982 | The U.S. Supreme Court rules in Plyler v. Doe that a state may not deny access to a basic public education to any child regardless of whether that child is in the country legally or not.

1983 | President Ronald Reagan’s National Commission on Excellence in Education releases “A Nation at Risk,” a report that deems America’s school system as failing and sets off reform efforts to improve academic outcomes.

1985 | New Jersey’s supreme court rules in Abbott v. Burke that the state is obligated to provide an “adequate” education for students to meet basic standards, prescribing how the state should fund schools in 31 school districts. It is one of the first in a series of state “adequacy” lawsuits that seek to dramatically increase the amount of money states spend on schools.

1989 | The nation’s governors commit during a national summit in Charlottesville, Va., to setting national education goals, upping the pressure for aggressive school reform efforts.

1994 | President Bill Clinton signs “Goals 2000,” which provides grants to states to create comprehensive reform plans to improve their schools.

2002 | President George W. Bush signs the No Child Left Behind Act, which, among other things, tasks the U.S. Department of Education to hold states accountable to a set of math and reading goals.

2007 | The Great Recession begins, leading to a tumble in income, sales, and property tax revenue for federal, state, and local governments, all of which school districts are heavily dependent on. More than 300,000 school personnel, mostly teachers, lose their jobs as a result.

2009 | President Barack Obama signs the American Recovery and Reinvestment Act, which sets aside $100 billion for schools including money to stabilize school budgets and funds for initiatives like Race to the Top.

2015 | President Barack Obama signs the Every Student Succeeds Act, which gives states additional flexibility over education policy, and requires that districts report school-by-school spending figures for the first time.

2018 | West Virginia teachers stage a first of a series of statewide strikes over stagnant pay, decrepit schools, and a massive teacher shortage, the first in a series of strikes across the country.


So, what is driving the costs?

  1. Enrollment

    BRIC ARCHIVE
    BRIC ARCHIVE

  2. Demographics

    BRIC ARCHIVE

  3. Operational Costs

    BRIC ARCHIVE
    BRIC ARCHIVE

  4. Staffing

    BRIC ARCHIVE
    BRIC ARCHIVE

  5. Benefits
BRIC ARCHIVE

Who pays?

BRIC ARCHIVE

A version of this article appeared in the September 25, 2019 edition of Education Week as Breaking Down the Where & Why of K-12 Spending

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
School Climate & Safety Webinar
Belonging as a Leadership Strategy for Today’s Schools
Belonging isn’t a slogan—it’s a leadership strategy. Learn what research shows actually works to improve attendance, culture, and learning.
Content provided by Harmony Academy
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
School & District Management Webinar
Too Many Initiatives, Not Enough Alignment: A Change Management Playbook for Leaders
Learn how leadership teams can increase alignment and evaluate every program, practice, and purchase against a clear strategic plan.
Content provided by Otus
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Artificial Intelligence Webinar
Beyond Teacher Tools: Exploring AI for Student Success
Teacher AI tools only show assigned work. See how TrekAi's student-facing approach reveals authentic learning needs and drives real success.
Content provided by TrekAi

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Educators Warn Flat English Learner Funding Falls Short of Growing Demand
Educators remain uncertain about the future of federal funds for English learners.
3 min read
Pictures show what mouth shape different sounds make on the walls of Diana Oviedo-Holguin’s class at Heritage Elementary School in San Antonio, Texas, on Sept. 3, 2025.
Pictures show what mouth shape different sounds make on the walls of Diana Oviedo-Holguin’s class at Heritage Elementary School in San Antonio, Texas, on Sept. 3, 2025. While educators feel relieved that federal dollars for supplemental English-learner resources will continue in the next fiscal year, they remain uncertain for the years to come.
Noah Devereaux for Education Week
Education Funding Congress Has Passed an Education Budget. See How Key Programs Are Affected
Federal funding for low-income students and special education will remain level year over year.
2 min read
Congress Shutdown 26034657431919
Congress has passed a budget that rejects the Trump administration’s proposals to slash billions of dollars from federal education investments, ending a partial government shutdown. House Speaker Mike Johnson, R-La., and fellow House Republican leaders speak ahead of a key budget vote on Feb. 3, 2026.
AP Photo/J. Scott Applewhite
Education Funding Trump Slashed Billions for Education in 2025. See Our List of Affected Grants
We've tabulated the grant programs that have had awards terminated over the past year. See our list.
8 min read
Photo collage of 3 photos. Clockwise from left: Scarlett Rasmussen, 8, tosses a ball with other classmates underneath a play structure during recess at Parkside Elementary School on May 17, 2023, in Grants Pass, Ore. Chelsea Rasmussen has fought for more than a year for her daughter, Scarlett, to attend full days at Parkside. A proposed ban on transgender athletes playing female school sports in Utah would affect transgender girls like this 12-year-old swimmer seen at a pool in Utah on Feb. 22, 2021. A Morris-Union Jointure Commission student is seen playing a racing game in the e-sports lab at Morris-Union Jointure Commission in Warren, N.J., on Jan. 15, 2025.
Federal education grant terminations and disruptions during the Trump administration's first year touched programs training teachers, expanding social services in schools, bolstering school mental health services, and more. Affected grants were spread across more than a dozen federal agencies.
Clockwise from left: Lindsey Wasson; Michelle Gustafson for Education Week
Education Funding Rebuking Trump, Congress Moves to Maintain Most Federal Education Funding
Funding for key programs like Title I and IDEA are on track to remain level year over year.
8 min read
Photo collage of U.S. Capitol building and currency.
iStock