Expand School Choice

Author: Preston Brashers, Research Fellow

Affordability 101 · Chapter 1: Consumer Choice

Plymouth Institute for Free Enterprise

Topline

States should adopt education savings accounts (ESAs) and allow parents to direct funding for their children’s education to programs that are right for them.

Background

The U.S. spends far more on public schools than most realize. For all the money that’s spent, educational outcomes should be better. According to the Census Bureau, in the 2023-24 fiscal year, the government spent $983.7 billion on public K-12 education, an average of $17,619 per pupil. That’s far higher than most private schools’ tuition. About 57% of the private K-12 schools in Niche’s 2026 database have tuition of $12,000 per year or less. Homeschooling costs far less than private school but requires a major time commitment that limits parents’ work hours.

Despite generous taxpayer funding, many public-school students receive a poor education and often ideological indoctrination that undermines religion and America’s founding. Not all public schools are problematic, but expanding competition and choice improves outcomes, including for students who remain in public schools.

Action Items (States and Congress)

• States should adopt and expand ESAs, allowing parents to set aside and invest funds for their children’s education, tax-free.
• States should ensure two-thirds or more of K-12 students are eligible for school choice programs that allow parents to decide where to send their kids to school and to direct education funding for their own children accordingly.
  • Funding for students in school choice programs should be at least 75% of the per-pupil funding of K-12 public school students.
• Congress should revoke the municipal bond exclusion for states that don’t enact minimum school choice (ensuring at least 40% of students have access at a 60% or higher level of per-pupil funding).
  • Only allow a 50% exclusion for states that meet those parameters but fall short of the full eligibility and funding thresholds above.

How It Would Make Life More Affordable

• Public K-12 education costs more than $7,500 per U.S. household, including about $3,400 on average in state taxes, more than $2,000 in local property taxes, about $1,200 from other local sources, and about $900 in federal taxes. School choice acts as a check against public school districts wasting taxpayer dollars.
• Better primary and secondary education and civic virtue can reduce delinquency, crime, and anti-social behavior, while enhancing future productivity.

Related Legislation: ACE Act (S. 3520 [118th Congr.], H.R. 6795 [118th Congr.]).

Bottomline

School choice and competition keep public school districts accountable to the parents and families they serve.

This memo is part of Affordability 101, Advancing American Freedom’s playbook of 101 policy solutions to make life more affordable.

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