Private K-12 schools rely on tuition; colleges rely on funding for research

Where colleges get their money, visualized

If you're curious about how different colleges and universities generate their revenue, this National Center for Education Statistics webpage offers a clear visual breakdown. See how public, private nonprofit, and for-profit institutions fund their operations, highlighting the differences between funding sources depending on the type of institution.

Fewer middle-class students now attend private schools

Stanford professor Sean Reardon says there are two primary reasons behind this trend. The first is that many parochial schools, which tend to offer more affordable tuition, have closed. The second is that tuition for the remaining private schools has outpaced middle-class salaries.

For-profit schools are not beholden to educational missions

While many private schools are nonprofit organizations, beholden to their missions and boards, some are for-profit entities owned by private individuals or corporations. In some cases, these institutions offer substandard courses and award unaccredited degrees.

Private schools don’t inherently boost student performance

High test scores in private schools often reflect affluent, selective student bodies—not superior instruction. Studies show that private school advantages stem largely from socioeconomic factors and admission policies, not institutional quality.

Federal government supports—but doesn't run—K-12 schools

The Department of Education contributes about 8% of K-12 funding and administers targeted grants, civil‑rights enforcement, research, and data collection. Crucially, it is legally prohibited from directing curriculum, personnel decisions, or instructional content, leaving that control to states and districts.

Private schools are free to experiment with teaching styles

Because they’re not beholden to national curricula, private school teachers can use different pedagogical approaches, like Harkness, which was developed at New Hampshire’s Phillips Exeter Academy. The method brings students to a large round oval table and encourages them to lead the lesson through inquiry.

Charter schools are publicly funded, autonomous schools

Charter schools are tuition-free, publicly funded institutions operating under a contract ("charter") that grants autonomy in curriculum, staffing, and budgeting in exchange for accountability to performance metrics. They serve millions of students nationwide.

The most expensive private schools in the US

Private schools can offer students specialized education and one-of-a-kind opportunities, but those often come with a price, with some schools charging close to six figures. Check out this list of the four most expensive American private schools, which charge more than most four-year colleges.

School choice allows families to use public funds for private education

Some private school advocates support school choice, a broad policy that provides families with public money (sometimes called “vouchers”) to spend on private education, including religiously affiliated schools.

What are college endowments? An expert explains

College endowments are meant to last forever. That's why some of the oldest, most prestigious schools in the US have lasted so long. A higher education finance expert weighs in on how these funds work and offers fascinating tidbits on how they impact university finances.

Approximately 10% of American K-12 students are enrolled in private schools

Around 75% of those students attend religiously affiliated institutions. In Hawaii and Washington, DC, 19% of students attend private schools, the highest enrollment percentages in the country.

US public K-12 spending topped $857B in 2024

Public K-12 schools spent around $857B in 2024, averaging $17,277 per student. State and local sources shouldered nearly 90% of costs, and federal funds provided about $2,400 per pupil.

Reasons the wealthy like to give to universities

Every year, higher education receives the lion’s share of philanthropy for key reasons. Universities have huge budgets and can handle big sums. They also oversee a broad range of initiatives tailored to an individual’s goals, and are particularly credible institutions with long track records and strong brands.

Public libraries are funded by a mix of local taxes, state grants, and federal programs

Property taxes form the backbone of most library budgets, covering staff and operations. State grants expand access to literacy and technology programs, while federal funding helps libraries in rural and low-income communities.

Roughly 40% of basic US research is federally funded

Basic research aims to produce new knowledge for it's own sake, as opposed to applied research, which seeks direct application. Private businesses make up the bulk of the rest of the funding.

Around two in five students in any given academic year take out some form of student loans

Among the nearly two in five students who take out loans, 90% of those students rely on federal loan programs. These federal loans come in three flavors—subsidized, unsubsidized, and options for parents and graduate students. Each option has its own financial considerations; see an overview of each, along with what to consider when borrowing funds to cover higher education costs.

Some educators argue society's obsession with colleges at the top of rankings has hurt the US higher education ecosystem

Why are "good colleges" often the ones that accept the fewest students? Speaker Cecilia Orphan argues that society's obsession with colleges that are often private, expensive, and that reject applicants with high frequency has done harm. Instead, she argues, we should focus on regional public universities that meet the needs of students in a cost-achievable manner.

9 states still offer prepaid tuition plans

Prepaid tuition plans, a type of 529 plan that locks in tuition rates when opened, are only offered in nine states for new enrollment. In addition to the nine states’ plans, there’s also a national plan for a network of 300 private colleges.

Track how college tuition has changed over the years across different types of institutions

The dramatic rise in the cost of higher education has a number of causes, ranging from increased number of students to administrative expansion at institutions. Even when accounting for inflation, the cost to pursue a degree has tripled over the past six decades. See data from the National Center for Education Statistics breaking out costs by institution type and year.

Bizarre college donations and the strings attached

When donors give to a college, they regularly prescribe specific stipulations, typically to fund a professorship in their name in a certain subject. But some of those stipulations are unique, including requiring annual graveside flowers, pet adoption for 150 dogs, or the consistent teaching of Ayn Rand’s "Atlas Shrugged."

The majority of capital in private equity funds is provided by institutional investors

The individuals who invest this initial capital are called the firm's limited partners. Private equity firm LPs include sovereign wealth funds, university endowments, high-net-worth individuals, and more.

How men's volleyball teams are saving struggling colleges in the US

Many colleges and universities in the US are facing severe financial pressure from a mix of decreasing research funding, lower enrollment, and, overall, a decreased interest in higher education. For some colleges, beefing up athletic programs that aren't available at all schools, like men's volleyball, is attracting new students.

Direct lending is the most common form of private credit

Other types include opportunistic credit, special-situations credit, mezzanine finance, venture debt, infrastructure debt, real estate debt, and more. All of these sources of capital technically create private transactions, so they can all call themselves private credit.

Roughly 43 million US borrowers owe roughly $1.7T in student debt, the second-largest source of consumer debt behind mortgages.

In 1922, the Ku Klux Klan tried to ban private education

The white supremacist organization was also staunchly anti-Catholic and sought to outlaw parochial schools by passing legislation that forced parents to send their children to public institutions.

NASA and SpaceX combine public support and funding with private enterprise

Rather than competitors, SpaceX and NASA are mutually beneficial collaborators. Without NASA contracts, SpaceX may have run out of funding, and without the low-cost tech of SpaceX, NASA may have been left without a US-based launch system.

Hedge funds, the private investment firms that trade a wide swath of financial assets, make money by imposing steep fees on investors and from the fund's investment performance.

Play the role of a student in a game where you try to navigate college and remain debt-free, selecting different income levels, high school experience, race, ethnicity, and more.

The price of gas is a composite made up of several different factors, with the federal gas tax making up less than 20% of what drivers pay at the pump.

The United States is one of only around two dozen countries with a fully federal system of government, in which power is divided between national and state governments.

The USPS spent $3.97B in 2024, accounting for .058% of the federal budget.

An initial public offering or 'IPO' is the process of a private company becoming public by putting shares of the company on the stock market for purchase.

A Yale student wrote a profound essay about the consulting industry's influence on elite college students that was published in a book of her writing after she died in a post-graduation car accident.

Children are now three times more likely to say they want to be a YouTuber when they grow up than an astronaut, with some even attending 'YouTube camps' that teach kids how to create content for the platform.

Art theft is the third-largest source of criminal revenues worldwide, thanks in part to the subjective nature of valuing a work of art.

How fusion—which releases energy when two lighter atoms combine to form a heavier atom—differs from fission

Use this tool to calculate the dollar value of your parental mental load, from meal planning to coordinating after-school care, then see resources that help generate solutions.

About 2,000 US babies are born annually without some portion of their limbs, potentially leading to a lifetime of pricey prosthetics.

Netflix profits when you're not watching, and its movies are designed that way—read a detail-rich critical essay exposing lesser-known Netflix takes

Some coin denominations have ridges etched on their sides, partly to prevent counterfeiting, in a practice called 'reeding.'

Up to a million Girl Scouts sell about 200 million cookie boxes every spring, generating $800 million, largely because refusing a child is frowned upon

Some renewable energy sources may weaken the resiliency of electric grids by removing outage buffers provided by coal- and natural gas-fired plants, which provide the system with more time to find a new power source if a plant goes down.

Experimental hantavirus vaccines and therapies, still under development, have long been funded by the US military.

Pure water does not conduct electricity because this flow of energy requires the movement of charged particles, and water is a neutral molecule.

Dozens of S&P 500 stocks, including Coca-Cola and Walmart—known as the dividend aristocrats—have increased dividends every year for 25 years

While the sun's gravity keeps the planets in orbit, their gravity also pulls on the sun, causing it and everything else in the solar system to orbit around a mutual balance point called the barycenter—the true center of the solar system.

As of 2025, the most cited papers in science include a review of graphene, methods to improve image recognition, streamlining electron density calculations, and optimizing protein studies.

Corals are themselves not coral reefs—the term refers to the tiny marine invertebrates that build the rigid reef.

After the Boston Tea Party, colonists switched to coffee, which became the main morning drink for revolutionaries.

While El Niño moves warm Pacific Ocean waters east along the equator, La Niña moves them west, shifting where rainfall will become more common for months.