Federal Share of K-12 Education Funding: 2022-23 Analysis
October 22, 2025
Public schools operate through a blend of local, state, and federal resources — funding streams that can both complement and compete with one another. Federal education revenues have historically accounted for a relatively small share of overall K–12 education spending, typically between nine and eleven percent. Understanding not just the total dollars a district receives from the federal government, but the proportion those funds represent within a district’s overall budget, is critical to assessing the potential impact of proposed federal cuts.

For the 2022–23 school year, AASA’s analysis found that federal funds made up just under 13 percent (12.75%) of a typical school district’s operating budget.
Why This Data Matters
This data highlights:
- Deep FY26 education cuts proposed by President Trump and House Republicans would hit the nation's most vulnerable communities hardest.
- Blunt reductions would undermine cornerstone federal programs, including Title I and Title II of the Elementary and Secondary Education Act.
- Proposed cuts threaten the broader success of public schools and the students they serve.
Use This Data for Advocacy
This analysis can help you to:
- Demonstrate your state's federal funding percentage to legislators.
- Illustrate how cuts would impact your community compared to state/national averages.
- Build the case for protecting federal education investments.
This data collection is sourced from the US Census 2023 Annual Survey of School System Finances, representing the 2022-23 school year. This analysis examines the share of school district budgets that are funded by annually appropriated federal dollars during that school year. This analysis does NOT include any remaining Elementary and Secondary School Emergency Relief (ESSER) or American Rescue Plan (ARP) funds.
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