Post by justfacts on Feb 13, 2006 14:47:21 GMT -5
This message is not a gripe! It is put up on this forum so that some of us might look at School Costs in a different light and maybe, just maybe, generate a way to pay for school costs in a more effective way than what we now do.
With payments based predominately on Property Values there are funding problems. They come about because property values have traditionally been an ever increasing item. Since the 1800's property has been the best "investment method" because it appreciates at over 8% per year - beating out even the Stock Market for growth performance.
Yet, the ability of a homeowner to raise money each year to pay for School Cost increases has risen less than 4% per year. Somewhere along this line, especially with declining income with the passing of years, the ability of the homeowner to meet the increased cost of schooling can't be maintained.
In my own case, I bought a house in this District in 1958, 48 years ago. Adjusted for today's dollar values, that means that I've paid about $6,000 per year for 48 years for my two son's education, That comes to $288,000.
Even today's high college costs don't quite measure up to paying $144,000 for each son's Elementary and High School education.
And these costs will go on increasing as long as I live at about $6,000 per year. Since my youngest son graduated from Plainedge High (1976) my annual contribution to education costs in Plainedge have totaled $180,000 of that $288,000, $108,000 while they were in the School system, $180,000 and growing when they were out of the system.
With my latest IRA showing a life expectancy of 21.7 more years, that's an added $130,000 on the total bill - or a grand cost to me of $418,000 to educate two children.
You too will face these types of cost figures as time goes on. As you stay in your homes, you will be paying for the education of the children of neighbors forever. The cost of their education will continually mount.[/i]
Must the cost of education be unbounded? Or can a cap be considered on the total contributions to education in a District in which you live?
This unbounded nature of funding education will exist even if it is not based on property tax. Of course, if it becomes based (wholly or partially) on income, then the contribution one must make declines as income declines with time - unlike the property tax method which constantly increases with time.
All of these considerations should come into play when seeking a "fair" way to fund educational costs.
But - not to be ever forgotten is the fundamental factor in educational cost - just what is a fair total cost for education?
Should it continue as an unbounded cost? Or, should it have a limiting total value?
With payments based predominately on Property Values there are funding problems. They come about because property values have traditionally been an ever increasing item. Since the 1800's property has been the best "investment method" because it appreciates at over 8% per year - beating out even the Stock Market for growth performance.
Yet, the ability of a homeowner to raise money each year to pay for School Cost increases has risen less than 4% per year. Somewhere along this line, especially with declining income with the passing of years, the ability of the homeowner to meet the increased cost of schooling can't be maintained.
In my own case, I bought a house in this District in 1958, 48 years ago. Adjusted for today's dollar values, that means that I've paid about $6,000 per year for 48 years for my two son's education, That comes to $288,000.
Even today's high college costs don't quite measure up to paying $144,000 for each son's Elementary and High School education.
And these costs will go on increasing as long as I live at about $6,000 per year. Since my youngest son graduated from Plainedge High (1976) my annual contribution to education costs in Plainedge have totaled $180,000 of that $288,000, $108,000 while they were in the School system, $180,000 and growing when they were out of the system.
With my latest IRA showing a life expectancy of 21.7 more years, that's an added $130,000 on the total bill - or a grand cost to me of $418,000 to educate two children.
You too will face these types of cost figures as time goes on. As you stay in your homes, you will be paying for the education of the children of neighbors forever. The cost of their education will continually mount.[/i]
Must the cost of education be unbounded? Or can a cap be considered on the total contributions to education in a District in which you live?
This unbounded nature of funding education will exist even if it is not based on property tax. Of course, if it becomes based (wholly or partially) on income, then the contribution one must make declines as income declines with time - unlike the property tax method which constantly increases with time.
All of these considerations should come into play when seeking a "fair" way to fund educational costs.
But - not to be ever forgotten is the fundamental factor in educational cost - just what is a fair total cost for education?
Should it continue as an unbounded cost? Or, should it have a limiting total value?