In the world of nonprofits, schools have specific rules and regulations to which they must adhere. A school needs to provide information to its administrators and board of trustees; it must adopt good internal controls and administrative policies; and it must begin these practices when the school is small so that the best practices are in place and additional procedures added as the school grows.

As we all know, money does matter. Nothing could be more appropriate than the topic of the financial wherewithal of our day schools. But it is also important to focus on how to put the “matter” back into the money as we keep our eye on the bottom line. With a focus on “matter,” we can increase revenue and make philanthropy more meaningful and impactful for all involved.

This interview, the first in a series of author interviews to take place in each issue, was published in partnership with the Jewish Book Council, a not-for-profit devoted to promoting the reading, writing, and publishing of books of Jewish interest (jewishbookcouncil.org).

Describe your personal journey in writing The Just Market.

Over the last fifteen years, the Supreme Court precedent has made it clear that governmental programs that fund parochial schools in the United States are constitutional. The thrust of this short piece is to note that Jewish day schools must join many other parochial schools in advocating for increased government funding of the private school system within the United States, and with such a change implemented, the basic financial situation of all Jewish schools would change dramatically and for the better. The “money” issue would go away.

“All knowledge you’ll ever learn, every experience you’ll have in life, are the circles. They’re not the center. If you don’t have a solid center, you’ll have jagged circles, incomplete circles, many different circles.” Rabbi Menachem Mendel Schneerson

  וְהַכֶּסֶף יַעֲנֶה אֶת הַכֹּל- “Money answers all things.” (Kohelet 10.19)

I am the new head of a Jewish day school who is considering moving my family into a home in the community I serve. While I value the convenience of living in close proximity to my work (and my children’s school), I am concerned about potential difficulties that living so close to the school community may present. How can I maximize the benefits of this arrangement and avoid some of the pitfalls?

Talk about a mixed blessing—this is it! You have highlighted the key issues to consider in your question. Let’s take a look at the pros and cons.

In the fall of 2014, recognizing the importance of financial aid to day school families, the Partnership for Excellence in Jewish Education (PEJE) surveyed 56 diverse Jewish day schools from across North America to learn about their financial aid practices. Using questions from PEJE’s new Recruitment & Retention Self-Assessment Tool (RSAT), which enables schools to assess where they stand relative to best practices, we were able to analyze the current state of financial aid.

These are critical times for the sustainability of Jewish day schools across North America. Many   are struggling with changing demographics, declining enrollment, increased need for financial aid, and budgetary strain.

What percentage of your school’s operating budget goes to salaries and benefits? If your school is like most, the answer is probably between 65% and 80%. In other words, your single largest budget line, by a long shot, is compensation for your faculty and staff.

However, while the compensation line is the heavyweight of your budget, it is likely one of the most opaque and least understood. Research indicates that increased transparency during the hiring process and beyond benefits schools.