Why Your Taxes Are Going Up: Inside Sayreville Schools $167M Budget For 2026-2027
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SAYREVILLE, NJ – The Sayreville Board of Education has officially approved a $167.09 million budget for the 2026–2027 school year.
The plan will fund district operations for about 6,205 students, including general education and special education programs, while also covering staffing, transportation, building costs, and long-term obligations.
Even though the budget is now approved, many residents are still asking the same question:
👉 Why are school taxes going up?
Here’s a simple breakdown of what was approved and what it means.
🏠 1. The Biggest Driver: Local Property Taxes Went Up
One of the biggest funding sources for the schools is local property taxes — and that number increased in this budget.
- $84.97 million will come from local taxpayers
- That’s up from $76.55 million last year
👉 Simple explanation:
This is the main reason homeowners will see higher school taxes.
🏛️ 2. State Aid Helps — But Doesn’t Cover Rising Costs
The district also receives money from the state of New Jersey.
- Total state aid: $54.01 million
- Largest portion: $40.40 million in general education support
👉 What this means:
State funding helps offset costs, but it has not increased enough to keep up with rising expenses.
👩🏫 3. Where the Money Is Going (The Big Costs)
Most of the budget is spent on running schools day-to-day.
📚 Classroom instruction
- General education: $37.03 million
- Special education: $12.83 million
👉 This covers teachers, classroom support, and instruction.
🏥 Health insurance costs are rising fast
- Total employee benefits: $35.76 million
👉 This is one of the fastest-growing expenses in the entire budget and now accounts for nearly half of all salary-related costs.
🚌 Transportation & building operations
- School buses: $8.41 million
- Building maintenance & operations: $9.90 million
📊 What This Means for Your Tax Bill
🏡 School tax rate
- 3.5886 per $100 of assessed home value
- 3.7377 including debt payments
👉 Simple explanation:
The higher the value of your home, the more you pay under this new rate.
👨🎓 Cost per student is rising
- Now: $21,980 per student
- Last year: $19,885 per student
👉 This increase reflects higher costs for staffing, insurance, and operations.
🏢 Leadership Costs & Shared Savings
The district’s top administrators include:
- Superintendent Richard Labbe: $270,205
- Assistant Superintendents: roughly $188K–$193K
- Business Administrator: $189,120
To help control costs, the district also shares services with the borough, including:
- Snow removal
- Fuel purchasing
- Recycling services
- School resource officers
- Cooperative purchasing programs
📉 What’s Happening With Savings Funds?
The district also uses savings accounts for long-term planning and emergencies.
- One major fund is projected to drop from $19.17 million to $2.53 million
- Another maintenance reserve is expected to fall to about $29,951
👉 Simple explanation:
These savings are being used to help cover costs, leaving less money set aside for future needs.
🧾 The Bottom Line
Even though the budget is now approved, the impact will be felt locally in the form of higher school taxes, largely driven by:
- Rising health insurance costs
- Increased operating expenses
- Limited growth in state aid
- Reduced reliance on savings
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