Different places, regions, towns, cities, etc. approach paying for their public schools in a different way! While a few use a local income tax to budget and pay for costs, the vast majority rely on property tax revenue received, not only is there a difference in where the money comes from, but how are they addressed and budget the costs of providing public schools? With that in mind, this article will attempt to briefly consider, examine, review, and discuss 5 options for handling the financial aspects of providing public education (at least for K – 12).
1. Real estate taxes: Almost all localities impose real estate taxes, but how and where they are used often differ! In most cases, local voters elect/select your local school board and the annual budget. Unfortunately, in most cases, few voters are familiar with their options and alternatives, and many of these budgets amount to little more than simply an extension of the same thing. Be aware that when any area’s property tax is deemed excessive compared to other places, it puts the local real estate market and especially home prices at risk!
two. Income tax: Some areas rely on the general income tax to provide funding/funding for the operation of their local schools! When, in 2017, one of the clauses, of the tax reform law, was significantly, covering, the deduction, allowed, for State and Local Taxes, known as SALT, and this meant that people in the areas with the highest taxation would end up being penalized!
3. Local, regional, state, etc: Sometimes a combination of liens, fees, and taxes are used to provide the necessary financing. However, this often results in a huge disparity between the quality of education and schools in the wealthiest areas, compared to others!
Four. Lack of adequate controls, etc.: Regardless of the source of the funds, unless/until the responsible people act, with the right controls and focus, there are often challenges! Shouldn’t taxpayers be demanding a bigger bang-for-the-buck amount? Too often, budgets are simply created based on a previous budget, from year to year, and therefore accepting the same-old, same-old budget, when more options and alternatives must be considered. etc! Only when items are considered individually, based on merit, using, zero-based, budgeting are taxpayer dollars protected!
5. Outside the Box; open minded; instead of same-old: Taxpayers should demand, better and more, and out-of-the-box, open-minded, planning, rather than just a continuation of the same-old, same-old!
One of the largest and most ongoing complaints from taxpayers is often tax and school funding related! Are you prepared to demand more?
