Because of the individual authority of each State for its own educational program, practices and policies differ widely among them in many respects. Yet in the midst of differences there are also common elements of development. The U. S. Office of Education, in presenting this series of monographs, has attempted to point out those common elements, to analyze the differences, and to present significant factors in State educational structure. In so doing, it accedes to the requests of a large number of correspondents who are students of State school administration and who have experienced the need for the type of material offered in this series. The present monograph is concerned with the very important work of State departments of education which has to do with the financing of the public schools. Since public education is a function of the State governments, State departments of education have many responsibilities regarding public-school finance. Among these responsibilities, the following are some/of the most important: Supervision of public-school budgeting and accounting, establishment and administration of teachers' salary schedules, apportionment of State school moneys, administering teacher retirement systems, and auditing public-school business transactions. This study analyzes these responsibilities of State departments of education in considerable detail. A bibliography is included. (Contains 3 figures, 5 tables, and 9 footnotes.) [Best copy available has been provided.]