Maryland Public School Spending Matches Private Schools; sub head: But the Results Don’t Match

As Marylanders, we take pride in investing in education. But the latest national data suggest that more money alone is not the solution, and our state’s trajectory raises serious questions about how efficiently our dollars are being used.

According to Reason’s K-12 Education Spending Spotlight 2025, U.S. public school funding now approaches nearly $1 trillion annually, with average inflation-adjusted spending per student rising from about $14,970 in 2002 to $20,322 in 2023. Reason Foundation. Yet despite these rising investments, student outcomes are not improving in tandem. Reason Foundation One key reason: large portions of new spending are going toward rising employee benefits (think pensions, health, other non-salary costs) and expansion of non-teaching staff, even while enrolments are flat or declining in many places. Reason Foundation

What does that mean for Maryland? The data here are telling. According to Maryland’s FY2023 figures, state and local per-pupil funding in many counties remains in the $17,000-$19,000 range (for example, total per pupil revenue statewide ~ $18,043), and overall state aid sits around $8,691 per pupil. MD Legislative Services. A separate source puts Maryland’s K-12 funding at about $21,004 per pupil in recent years. Education Data Initiative On the federal side, Maryland public schools received about $2,428 per student in federal funds for the 2021-22 school year, which is slightly below the national average. USAFacts. In comparison, the average parochial (Catholic) school tuition in Maryland varies, but a recent figure for the Archdiocese of Baltimore is about $17,566 for the 2024-25 school year. For a broader average across all private schools, the figure is slightly higher: the statewide average for private elementary schools is around $16,066, and for private high schools, $20,315, for 2025-26. 

On the face of it, Maryland families are paying up and so is the state government. But here’s the rub: despite the heavy investment pushed by the landmark Blueprint for Maryland’s Future reform effort (which sought to raise teacher pay, expand early childhood programs, and provide more supports to struggling schools), Blueprint for Maryland’s Future we still must ask whether this spending is driving improved learning outcomes, and whether our budget is sustainable.

Reason’s national analysis highlights three troubling structural issues that Maryland must heed:

1. Rising benefit costs crowding out instruction: Nationally, spending per student on employee benefits increased by 81% from 2002 to 2023, while salary spending rose only 7.7% in real terms. Reason Foundation In Maryland, one must wonder: how much of our per-pupil dollars are being absorbed by pension and health burdens rather than being redirected into the classroom or teacher compensation?
2. Staff growth outpacing student growth: While U.S. public school staff grew 15.1% between 2002–2023, enrollment grew only 4.1%. Many of these were non-teaching positions. Reason Foundation for Maryland, with some counties showing falling enrollment or slowing growth, continues to expand staffing without a tight connection to instructional value, introducing budget risk.
3. Spending growth relying on temporary federal relief: The report shows that from 2020 to 2023, per-pupil spending rose by ~$1,610 in real terms, but about $1,181 of that was from federal COVID-19 relief funds, meaning state and local increases were only ~$429 per student. Reason Foundation In Maryland, with federal funds ebbing, the real question is: will the state pick up the slack, or will we see budget shortfalls or program cuts?

For Maryland policymakers and taxpayers, here are key talking points:

• We must shift the discourse from “How much are we spending?” to “How smartly are we spending?” If billions are flowing but student outcomes (test scores, graduation rates, college readiness) aren’t improving at commensurate rates, that’s a sign of structural inefficiency.
• The Blueprint for Maryland’s Future was noble in intent but raising spending without hard accountability for results is financially risky. The state’s projected budget shortfalls tied to education growth are raising red flags. AP News
• Teacher compensation remains a pressing issue. If salary growth is stagnant while benefits siphon off resources, Maryland risks losing talented educators. We need to prioritize classroom instruction and direct pay rather than just inputs like hiring more non-instructional staff.
• Enrollment trends matter. With many states, including Maryland, facing flat or declining student numbers, continuing to increase staffing and budgets as if the student body is growing invites inefficiency and waste.
• Finally, school choice, charter expansion, and homeschooling trends present competition and alternatives for families. Maryland must ensure that our public‐school system is functioning at the highest standard to justify its share of taxpayer dollars.

In short, Maryland’s education spending is generous but generosity is not enough. If we spend $20,000+ per student, we need to demand outcomes, efficiency, and transparency. The national data from the Reason Foundation reveal where the danger lies: high spending, rising costs, and stagnant results. Maryland can avoid the same pitfalls but only if we align our funding strategy with accountability, smart staffing, and instructional priorities.

Endnotes

1. Reason Foundation, K-12 Education Spending Spotlight 2025: Annual Public School Spending Nears $1 Trillion, November 20, 2025, https://reason.org/k12-ed-spending/2025-spotlight/.
2. Reason Foundation, “Funding Education Opportunity: 2025 K-12 Education Spending Spotlight Release,” November 2025, https://reason.org/education-newsletter/funding-education-opportunity-2025-k-12-education-spending-spotlight-release/.
3. Reason Foundation, K-12 Education Spending Spotlight 2025, Table 1: Inflation-Adjusted Spending Growth 2002–2023.
4. Maryland Department of Legislative Services, Public School Funding – FY 2023 Per Pupil, 2024, https://dls.maryland.gov/pubs/prod/NoPblTabPDF/2024PubSchoolFundingFY23PerPupil.pdf.
5. EducationData.org, “Public Education Spending Statistics,” accessed November 2025, https://educationdata.org/public-education-spending-statistics.
6. USAFacts, “What Percentage of Public School Funding Comes from the Federal Government? Maryland,” accessed November 2025, https://usafacts.org/answers/what-percentage-of-public-school-funding-comes-from-the-federal-government/state/maryland/.
7. Blueprint for Maryland’s Future, Maryland State Department of Education, “Funding,” accessed November 2025, https://blueprint.marylandpublicschools.org/funding-2/.
8. Reason Foundation, K-12 Education Spending Spotlight 2025, Section 4: COVID-Era Federal Relief and Per-Pupil Funding Growth 2020–2023.
9. Associated Press, “Maryland Faces Fiscal Strains as Implementation of Sweeping Education Reform Law Advances,” AP News, accessed November 2025, https://apnews.com/article/6927e927dd023e3993d116cb17743a8b.

Carol Hughes is a contributor for Direct Line News. She can be reached at Carol.Hughes@mcgopclub.com

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Carol Hughes

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