While school spending rises nationally, enrollment continues to decline

(The Center Square) - Public school enrollment has declined in recent years even as staffing and spending have increased, prompting debate among education leaders over how resources are being used and whether they are improving student outcomes.

Total annual public school spending is nearing $1 trillion nationally, according to a Reason Foundation report.

According to Edunomics Lab at Georgetown University, public school enrollment has declined by roughly 750,000 students since 2014. In that same time, public school employment has grown by more than 600,000 positions.

Only about one-third of students score at or above the proficient level on the National Assessment of Educational Progress in reading, according to the National Assessment Governing Board.

Teachers: low salaries and overtime

According to the National Education Association, the national average teacher salary reached $72,030 in 2024, up 26.9% from $58,454 in 2015-16.

The highest average salaries are reported in California at $101,084, New York at $95,615, Massachusetts at $92,076 and Washington at $91,720, according to World Population Review.

However, the National Council on Teacher Retirement reported that when adjusted for inflation at 3%, recent salary increases equate to only about 1.5% growth.

Despite pay increases, teachers continue to earn less than similarly educated professionals. USAFacts reports that most public K-12 teachers hold master’s degrees, yet their average pay is $20,000 less than the average pay of a worker with an advanced degree.

The Economic Policy Institute has found that teacher benefits, including pensions, do not fully offset what it calls a growing wage penalty compared to other college-educated workers. The compensation gap for teachers was -17.1% in 2024.

Public school teachers typically work about 180 instructional days per year under annual contracts that include summer and seasonal breaks, though many report additional hours spent on planning, grading and professional development.

In some states, top teacher salaries remain below $60,000, including Mississippi at $53,704, Florida at $54,875 and Missouri at $55,132.

A recent peer-reviewed study published in Politics and Policy found that administrative growth is more pronounced in states with stronger teachers' union influence.

Budget deficits, underinvestment and bureaucracy

Becky Pringle, president of the NEA, said declining test scores reflect underinvestment rather than overspending.

“Test scores don’t just reflect what students know — they reflect the consequences of disinvestment in public education,” Pringle said in a statement emailed to The Center Square.

Pringle called for higher teacher pay, smaller class sizes and increased investment in instructional resources.

The NEA, which represents more than 2.8 million teachers nationwide, reported $529.5 million in revenue for the 2022–23 fiscal year, with $374.2 million from membership dues, according to Americans for Fair Treatment.

During the same reporting period, Pringle earned $495,787 — about 8.5 times the salary of the average public school teacher.

Rusty Brown, director of special projects at the Freedom Foundation, argued bureaucratic growth and union influence have reduced efficiency and academic standards.

“When you get a massive bloated bureaucracy that grinds efficiency to a halt,” Brown told The Center Square. Brown added the issue is not only pay levels but how funds are used and whether they produce results.

At the same time, large school districts are fighting budget deficits.

The Los Angeles Unified School District, the nation's second-largest school district, approved an $18.8 billion budget for 2025-26 despite projecting $15.9 billion in revenue, creating a $2.9 billion deficit.

“Los Angeles Unified is committed to protecting high-quality student learning, even as we face significant fiscal challenges,” an LAUSD spokesperson told The Center Square. “Continued declines in student enrollment, reductions in state funding, and the expiration of critical federal relief dollars are creating substantial budget pressures for the upcoming year.”

“As a result, the district must prepare for responsible and strategic budget reductions to maintain long-term financial stability,” the spokesperson said.

Superintendent Alberto Carvalho earns $440,000 annually under a contract running through 2030, along with additional benefits of a $50,000 annual contribution to a retirement account, and access to private security, cars and a driver.

Since 2002, inflation-adjusted K-12 spending has increased by more than 35.8%, with per-pupil expenditures rising from $14,969 to $20,322.

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