Public school funding

USA Facts- US public schools were given about $1.04 trillion in funding during the 2023–2024 school year. That averages out to $21,100 per student. Almost 90% of that funding was from state and local sources, with the rest coming from the federal government. But the percentages vary depending on the school’s location.  

Per-student funding ranged from $13,200 in North Carolina to $37,500 in New York. Cost of living, local property values, and state tax policy all factor into that gap. 

State sources covered 45.8% of public school funding, while local sources covered 42.5%. The federal government covered the remaining 11.7%. These percentages have stayed fairly consistent over the past decade. 

Most local money for schools comes from property taxes. State money comes mostly from income and sales taxes, with some states adding lottery revenue or tobacco or alcohol taxes. 

The federal government provides money for specific programs, such as Title I for schools serving low-income communities and grants under the Individuals with Disabilities Education Act for special education. Much of this funding goes to the state, which allocates it to individual school districts.

The balance between state and local funding varies. For example, Vermont drew 87.0% of its school funding from state sources and 2.6% from local sources, while its neighbor, New Hampshire, drew 28.4% from the state and 63.3% from local sources.