School & District Management

Report Estimates Cost of Virtual Education

By Katie Ash — January 17, 2012 2 min read
  • Save to favorites
  • Print

The per-pupil cost of educating a student through virtual education is significantly less, on average, than the national average for brick-and-mortar schools, a paper from the Thomas B. Fordham Institute says.

The report also says that fully virtual programs are less expensive, on average, than blended-learning programs, which combine face-to-face and online learning, but the paper does not address whether student outcomes are equal.

The fourth in a series of papers called Creating Sound Policy for Digital Learning, it found that virtual schools spend about $5,100 to $7,700 for each student, compared with $7,600 to $10,200 for blended-learning programs, and $10,000 per student for regular brick-and-mortar schools.

However, the authors of the paper, Tamara Butler Battaglino, Matt Haldeman, and Eleanor Laurens, all of whom work for the Parthenon Group, a Boston-based global strategy advisory firm, caution readers against settling on a price tag for online learning because of how widely the cost of such education varies from program to program. The cost of online learning also does not take into account student outcomes, say the researchers, who gathered data from public documents as well as in interviews with entrepreneurs, policy experts, and school leaders.

Some e-learning experts not involved in the Fordham analysis also expressed notes of caution about drawing conclusions from it.

“A careless reading of the report will lead some policymakers and educators to believe that online and blended should be pursued with cost-savings goals front and center,” said John Watson, the founder of the Evergreen Education Group, a Durango, Colo.-based organization that researches online learning.

“A closer reading reveals that such an approach will overlook the need for an initial investment of time and resources, leading to poor outcomes,” he said. “I’m concerned that policymakers will focus on what appear to be the bottom-line numbers, ... without acknowledging the numerous caveats that appear throughout.”

The paper identifies five cost drivers that outline the way different types of schools allocate resources: labor, content acquisition and development, technology and infrastructure, school operations, and student-support services.

While more than half of regular schools’ financial resources typically go toward labor costs, virtual schools can often reduce those costs by increasing the pupil-teacher ratio or by reducing teacher salaries by hiring only part-time teachers or paraprofessionals, says the report.

A version of this article appeared in the January 18, 2012 edition of Education Week as What Is the Cost of Virtual Ed.?

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
School & District Management Webinar
Leadership in Education: Building Collaborative Teams and Driving Innovation
Learn strategies to build strong teams, foster innovation, & drive student success.
Content provided by Follett Learning
School & District Management K-12 Essentials Forum Principals, Lead Stronger in the New School Year
Join this free virtual event for a deep dive on the skills and motivation you need to put your best foot forward in the new year.
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Privacy & Security Webinar
Navigating Modern Data Protection & Privacy in Education
Explore the modern landscape of data loss prevention in education and learn actionable strategies to protect sensitive data.
Content provided by  Symantec & Carahsoft

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

School & District Management Explainer What's Going On With Public School Enrollment? All the Big Questions, Answered
Districts across the country are contemplating a future with fewer students. What are the trends, and how did this happen?
11 min read
Illustration of the side view of a man sitting in an office chair with his head down and with a red arrow heading downward toward him while various sized white arrows in the background are all heading upward.
DigitalVision Vectors
School & District Management Video 'The Work Is Therapy': Principals Help Each Other Recover From School Shootings
The Principal Recovery Network supports school leaders who've experienced a violent incident on campus.
2 min read
Frank DeAngelis, center, greets well-wishers during a vigil at the memorial for victims of the massacre at Columbine High School more than 20 years earlier in Littleton, Colo. on Friday, April 19, 2019. DeAngelis was principal of the school at the time of the attack. The school district is considering razing the current building and putting up a new structure.
Frank DeAngelis, center, greets well-wishers during a vigil at the memorial for victims of the massacre at Columbine High School more than 20 years earlier in Littleton, Colo. on Friday, April 19, 2019. DeAngelis was principal of the school at the time of the attack. The school district is considering razing the current building and putting up a new structure.
David Zalubowski/AP
School & District Management Districts’ Virtual Programs Are on the Chopping Block as ESSER Ends
Although usually small in enrollment, virtual programs have been an important option for some students.
6 min read
Fourth-grader Sammiayah Thompson, left, and her brother third-grader Nehemiah Thompson work outside in their yard on laptops provided by their school system for distant learning, in Hartford, Conn., on June 5, 2020.
Fourth-grader Sammiayah Thompson, left, and her brother third-grader Nehemiah Thompson work outside in their yard on laptops provided by their school system for distance learning, in Hartford, Conn., on June 5, 2020. Some districts kept virtual programs as an option after schools reopened, but many of those are now considering cuts to them as budgets tighten.
Jessica Hill/AP
School & District Management What the Research Says 5 Things Schools Can Do This Summer to Improve Student Attendance Next Year
Schools can get a jump on student attendance during the school year by using data, leveraging summer programs, and connecting with families.
6 min read
Julian Gresham, 12, left, works in a group to program a Bee-Bot while in their fifth grade summer school class Monday, June 14, 2021, at Goliad Elementary School. Bee-bots and are new to Ector County Independent School District and help to teach students basic programming skills like sequencing, estimation and problem-solving.
Julian Gresham, 12, left, works on a robotics programming activity in a 5th-grade summer school class June 14, 2021, at Goliad Elementary School in Ector County, Texas. Active summer programs may improve students' attendance during the school year.
Jacob Ford/Odessa American via AP