As students head back to school, families will once again open their wallets to buy school supplies. As many families budget for the school season, so do federal, state, and local governments.

The FRED graph above shows the share of total current expenditures devoted to education by two types of governments: federal government (blue line) and state and local governments (orange line). Each share is multiplied by 100 to show it as a percentage. Hover over the graph to see annual values for each series.

During the past 60 years, the portion of the federal government’s budget allotted to education (plotted on the right axis) has averaged 2.35% and remained relatively constant. Meanwhile, the portion of state and local governments’ budgets allotted to education (plotted on the left axis) has averaged 34.7%, peaking at almost 40% in 1966-1967. Education spending weighs heavily on state and local budgets.

Let’s take another perspective. Since 1959, overall federal spending has been, on average, 50% larger than overall state and local government spending. However, during this period, for every dollar the federal government has spent on education, state and local governments have spent, on average, $8.27. Education budgets rely primarily on state and local finances.

How this graph was created: Search FRED for and select “Government current expenditures: Federal: Education.” Click “Edit Graph” and select the “Edit Line” tab to customize the data by searching for “Federal Government Current Expenditure.” Don’t forget to click “Add.” Next, type the formula (a/b)*100 and click “Apply.” Next, use the “Format” tab to customize the line position by selecting “Y-axis position: Right.” Next, select the “Add Line” tab. Search for and add “Government current expenditures: State and local: Education.” Next, customize the data by searching for and adding “State and Local Government: Current Expenditure.” Last, type the formula (a/b)*100 and click “Apply.”

Suggested by Amzie Maienbrook and Diego Mendez-Carbajo.