The EQI and ISO: How we calculate funding
This page provides information on how your 2023 Equity-based and Targeted Funding for Isolation will be calculated, including transition support.
School boards will continue to be responsible for the financial governance of their schools or kura, including determining how their operational funding is used and reported on.
How the Ministry calculates Entitlement Funding
There are several funding components impacted by the introduction of the Equity
Index (EQI) and the updated Isolation Index. This page outlines the impact these changes have on your school’s operational funding components.
Note that:
- These funding components are based on per-pupil rates. The final funding that you receive will depend on the number of students on your roll.
- These funding rates are applied to all students since January 2023.
- Equity Funding
- Support for Inclusion Funding (SIF)
- Careers Information Grant (CIG)
- Targeted Funding for Isolation (TFI)
Equity Funding
From January 2023, a new component called Equity Funding replaces the previous decile-based funding that was used – Targeted at Risk Funding (TARG) and Targeted Funding for Educational Achievement (TFEA).
This component is based on the Equity Index (EQI) number that is provided to each school or kura. For more information about the EQI and how this number is determined, refer to our page Equity Index.
How Equity Funding is calculated
Equity funding is a simple calculation that uses your EQI number (from 344 to 569) and the number of students on your roll.
This funding was previously based on the decile system which used a stepped funding model. Equity Funding has been calculated using the new funding rates and a new funding curve.
Example
Equity funding calculation
School A has an EQI number of 489. Using the funding curve, the per-pupil rate that they receive for this component is $538.48. This rate is applied to all students.
To calculate, the funding the per-pupil funding rate is multiplied by the number of students. This is the total funding that you will receive for the year.
Note
As this is a per-pupil rate, a change in your roll will change the amount of funding that you receive. This means if your roll declines, your Equity funding will also reduce.
Support for Inclusion Funding (SIF)
Support for Inclusion Funding (SIF) will replace the Special Education Grant (SEG) component of operational funding from January 2023. This component is based on the Equity Index number (EQI) that is provided to each school or kura. For more information about the EQI and how this number is determined, refer to Equity Index.
How SIF is calculated
Support for Inclusion Funding (SIF) has two components. The first component, which is equity based, uses your EQI number (from 344 to 569) and the number of students on your roll.
This funding was previously based on the decile system which used a different stepped funding model. SIF has been calculated using the new funding rates and a new funding curve.
Example
SIF calculation
School A has an EQI number of 489. Using the funding curve, the per-pupil rate that they receive for this component is $74.13. This rate is applied to all students and is the TOTAL SIF that you will receive. This includes both the EQI and non-EQI based parts.
To calculate the funding, the per-pupil funding rate is multiplied by the number of students.
This is the total funding that you will see on your operational funding notices.
Note
As this is a per-pupil rate, a change in your roll will change the amount of funding that you receive. This means if your roll declines, your Equity funding will also reduce.
To calculate ONLY the EQI funding you need to remove the non-equity per-pupil component. Details about your total per-pupil rate, and the two individual rates can be found on your 2023 EQI funding letter, in Appendix One. These letters are available on the Secure Data Portal.
If the total per-pupil rate is $74.13 and the non-equity rate is $43.45 then your calculation will look like this.
Careers Information Grant (CIG)
Careers Information Grant (CIG) is a funding component that is only provided to schools and kura with secondary students, based on the Equity Index. For more information about the EQI and how this number is determined, refer to Equity Index.
How CIG is calculated
Careers Information Grant (CIG) has two components. The first component, which is Equity based, uses your EQI number (from 344 to 569) and the number of students on your roll.
This funding was previously based on the decile system which used a different stepped funding model. SIF has been calculated using the new funding rates and a new funding curve.
Example
CIG calculation
School A has an EQI number of 489. Using the funding curve, the per-pupil rate that they receive for this component is $74.13. This rate is applied to all students and is the TOTAL CIG that you will receive. This includes both the EQI and non-EQI based parts.
To calculate, the funding the per-pupil funding rate is multiplied by the number of students. This is the total funding that you will see on your operational funding notices.
Note
As this is a per-pupil rate, a change in your roll will change the amount of funding that you receive. This means if your roll declines, your Equity funding will also reduce.
To calculate ONLY the EQI funding, you need to remove the non-equity per-pupil rate. Details about your total per-pupil rate, and the two individual rates can be found on your 2023 EQI funding letter within Appendix One. These letters are available on the Secure Data Portal.
If the total per-pupil rate is $28.80 and the non-equity rate is $14.99 then your calculation will look like the following:
Targeted Funding for Isolation (TFI)
Targeted Funding for Isolation (TFI) is a funding component that is only provided to isolated schools and kura. To be eligible your school or kura must have an Isolation Index number greater than the threshold of 1.27. If your Isolation number is lower than this, you will not receive this funding component.
This component is based on the Isolation Index number that is provided to each school or kura. Find out more about the Isolation Index and how this number is determined.
Total Targeted Funding for Isolation (TFI) has two components.
- A base rate - the minimum TFI funding amount given to schools and kura who meet the funding eligibility threshold.
- A variable rate - an additional amount of funding given to schools and kura whose Isolation Index number is larger than the threshold.
How TFI is calculated
Targeted Funding for Isolation (TFI) uses your Isolation Index number, a variable rate, and a base rate to calculate how much your school can receive.
We square your Isolation Index number, multiply it by the variable rate, and then add the base rate at the end to equal your Targeted Funding for Isolation amount.
Example
TFI calculation
School A has an Isolation Index number of 2.55. This is above the threshold of 1.27 and therefore this school is eligible for Isolation funding.
All eligible schools will receive a base funding amount and a variable rate. The variable rate will change depending on the Isolation Index of the school. The total funding for this component is the sum of the three parts.
This school has a base rate of $11,667 and a variable component of $9,855.
This can be expressed as,
(2.55 x 2.55) x $9,855.00 + $11,667 = $75,749.14
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