March 1, 2011

Are Public School Teachers Really Underpaid and Are Public School Systems Really Underfunded?

Rankings of the States 2009 and Estimates of School Statistics 2010

A UN study has concluded that South Korea and Japan have the most effective education systems. It was based on testing what pupils actually know and what they are able to do. The US ranked 18th, Germany 19th. Furthermore the US finished low in each test and in adult literacy. The bottom line is this: stupid people do not stay free very long. - Bob Chapman, Financial Crisis Only Squandering Our Future, The International Forecaster, December 6, 2008

The federal, state, and local revenue contributions for public education for 2009–10 are estimated at $60.4 billion, $268.8 billion, and $260.1 billion, respectively, totaling $589.3 billion. - National Education Association (NEA), Rankings of the States 2009 and Estimates of School Statistics 2010, December 2009

December 2009

National Education Association (NEA) - The U.S. average public school teacher salary for 2008–09 was $54,319. State average public school teacher salaries ranged from those in New York ($69,118), California ($68,093), and Massachusetts ($66,712) at the high end to South Dakota ($35,070), North Dakota ($41,654), and Utah ($42,335) at the low end (C-11).

School Revenues: School funding continues to be state oriented, although the federal share increased somewhat in recent years. Between school years 2007–08 and 2008–09, the local share of K–12 public education funding increased from 43.1 to 43.5 percent (F-7, F-8) and the state share slightly decreased from 48.4 to 47.1 (F-9, F-10). The federal share increased to 9.4 percent (F-11, F-12). Throughout the past 10 years, state and local governments have each provided between 43 and 50 percent of the total revenues.

Government Expenditures: Expenditures for elementary and secondary schools and for higher education can serve as indicators of state and local government “effort” to fund these services. Between 1997 and 2007, expenditures for elementary and secondary (K–12) education increased 22.1 percent, whereas higher education spending increased 30.3 percent, in real dollars. The ratio of elementary and secondary expenditures to higher education expenditures was 2.6 to 1 in 2007, similar to the 2006 ratio of 2.6 to 1.

Expenditures per Student: Expenditures per student in fall enrollment were expected to increase by 3.1 percent to $10,506 in 2009–10, up from $10,190 in 2008–09. This compares with a 3.3 percent increase in total current expenditures.

General Resources: State governments still provide the largest share of public school financial support—estimated at 45.6 percent for 2009–10—down 1.5 percent from the revised figure of 47.1 percent in 2008–09. Once again, differences among states are considerable, reflecting differences in state and local revenue systems, demographic characteristics, and program priorities, to name but a few factors.

For 2009–10, the federal government’s contribution to public elementary and secondary school revenues increased from 9.4% to 10.2%, compared to 2008–09. The federal, state, and local revenue contributions for public education for 2009–10 are estimated at $60.4 billion, $268.8 billion, and $260.1 billion, respectively, totaling $589.3 billion.
As a comparison, the expenditures of elementary and secondary schools were about $308 billion for 1994-95, while institutions of higher education spent about $201 billion. Viewed in another context, the total expenditures for education were about 7.5 percent of the Gross Domestic Product (GDP) in 1994-95. School funding comes from a variety of federal, state, and city money pots. About 46 percent of public spending on elementary and secondary schools is derived from local government budgets. The size of the local tax base is one reason for the large disparity in spending. In 1994-95, the estimated current expenditure per student in average daily attendance was $6,084. After adjustment for inflation, this represents an increase of 23 percent since 1983-84. [Statistics from the Department of Education's National Center for Education Statistics]
Classroom Teacher Salaries: Based on trends, the NEA estimated that the average classroom teacher salary for 2009–10 would increase by 1.9 percent over 2008–09, from $54,319 to $55,350. The national average salary, although useful as a benchmark statistic, hides vast differences among states, with statewide averages likewise clouding significant local variations.



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