Sunday, November 19, 2023

A Deep Dive into US Public School Expenses


 Education is the doorway to a prosperous future. For that reason, public elementary schools and high schools across the United States must receive adequate funding. While state and local governments have raised allocations to public schools over the years, more is necessary to keep up with the rising costs of schools.

The United States spends hundreds of billions annually on public elementary and secondary education. According to the US Census Bureau, in the 2021-2022 academic year, the country spent $810 billion on public schools, an increase from $752.3 billion in 2019-2020 and $718.52 billion in 2018-2019. In 2021-2022, the average public school spent $14,347 per student, up from $13,187 in 2019-2020 and $12,559 in 2018-2019.

States with the highest student spending in 2020-2021 were New York with $26,571, Vermont with $23,586, and Connecticut with $22,769. Also, the District of Columbia spent $24,535.

States with the lowest spending per student were Idaho ($9,053), Utah ($9,095), and Arizona ($9,611). Northern states had some of the highest spending rates, while southern states had some of the lowest. Spending per student in Illinois in 2021-2022 was $18,316.

A breakdown of total school spending reveals that most of the money goes to current expenses. In 2021-2022, US schools spent $687.2 billion on current expenses. This was 84.8 percent of the total expenditure. It included staff salaries, employee benefits, supplies, tuition, and services. Purchased services included school transportation, janitorial work, and teacher training.

By contrast, in 2021-2022, schools spent only $82.53 billion on capital expenses and $24.85 billion on other expenses. Capital expenses were about 11 percent of total expenses and comprised spending on school buildings and property, such as renovations and alterations. Other expense items included debt repayments.

In 2021-2022, state governments contributed $367.13 billion to public schools, about 45 percent of total funding. Local governments were the second largest contributors at $357.53 billion (44 percent), while the federal government contributed only $85.31 billion, just over 10 percent.

Funding trends in 2021-2022 were similar to those from previous years. In 2019-2020, for example, state governments contributed 46.7 percent of total public school funds. Local governments contributed 45.6 percent, while the federal government added 7.7 percent.

Schools in some states receive much higher percentages from their state governments. For example, schools in Vermont and Hawaii obtained 90 percent of their funding from the states in 2019-2020. Schools that do not receive most of their funding from states acquire it from local governments. In 2019-2020, New Hampshire schools received 64 percent of their funding from local governments, and Missouri schools received 61 percent from local governments.

Overall, total funding to public schools has been rising since 2010. According to the National Center for Education Statistics, public school revenues in the 2010-2011 academic year, adjusted for inflation, amounted to $770 billion. By 2019-2020, those revenues had grown to $871 billion.

Federal, state, and local governments must work together to enhance funding to schools, many of which are yet to recover from COVID-19 disruptions. On top of that, traditionally underserved areas, where public school systems are strained, require more resources to ensure all students receive a quality education.

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