How Title I Schools Can Use Family Engagement Funds for a Family Money Night
Yes, your school can pay for a family money night with Title I family engagement funds. The money comes from a set-aside your district already has to make, and the rules on what it can buy are more specific than most schools realize.
A Title I school can fund a family money night from its share of the district's 1 percent family engagement reservation if parents helped decide how that money is spent and the night helps families support learning. In Maryland, MSDE allows light refreshments, childcare, transportation and educational take-homes. Gift cards and door prizes are out.
This guide is for the person who has to plan the night and then defend the receipts.
This is general information, not legal or fiscal advice. Your district's Title I office and MSDE make the final call on any expense.
Key takeaways
Districts that receive more than $500,000 in Title I, Part A must reserve at least 1 percent for parent and family engagement, and at least 90 percent of that reserve goes to schools, under ESEA section 1116(a)(3).
Parents of Title I students must be involved in deciding how the family engagement reserve is allotted and spent, according to the U.S. Department of Education's January 2025 guidance.
MSDE's allowability guide caps food at family engagement events at $4 per person for light snacks and $15 per person for dinner, and meals are generally allowed only during typical mealtimes.
Gift cards, door prizes, T-shirts and other promotional items are unallowable Title I family engagement costs in Maryland.
MSDE requires sign-in sheets for every attendee when Title I money pays for food, and asks districts to collect RSVPs before ordering.
Can Title I family engagement funds pay for a family money night?
Yes. Title I family engagement funds can pay for a family money night when the event helps parents support their children's learning and parents had a say in how the money is spent. The legal hook is ESEA section 1116(e)(2), which requires schools to give parents materials and training to help their children achieve.
The parent and family engagement reservation is the share of a district's Title I, Part A allocation, at least 1 percent, that must be set aside for activities that involve parents and families.
The rules sit in 20 U.S.C. 6318, the section of federal law known as ESEA section 1116. Three parts of it matter for a money night:
The reserve. Districts must hold back at least 1 percent of their Title I allocation. The requirement doesn't apply when 1 percent would be $5,000 or less.
Parent input. Parents of Title I students must be involved in decisions about how the reserve is used.
What it pays for. Section 1116(e)(8) allows reasonable and necessary expenses, including transportation and childcare, so parents can take part.
The U.S. Department of Education's January 2025 parent and family engagement guidance says parents must be involved both in deciding how funds are allotted and in how they're spent. A money night that parents asked for at a Title I meeting is much easier to approve than one picked by staff alone.
Family engagement funds aren't the only option. If you want to compare Title I with Title IV-A, 21st Century Community Learning Centers and Maryland's community school grants, our crosswalk covers which federal and state funds can pay for financial literacy.
What a family money night can buy with Title I funds in Maryland
In Maryland, a family money night paid for with Title I funds can cover a presenter or community partner, light refreshments or a meal at mealtime, childcare, transportation, interpreters and learning materials families take home. It can't cover gift cards, door prizes, T-shirts, decorations or entertainment. These limits come from MSDE's guidance, not just general federal rules.
The source is MSDE's Allowable Use of Funds Across Various Federal Programs, which lists family nights among allowable parent and family engagement activities. Here's how its rules apply to a single money night:
Cost | Allowable? | MSDE's condition |
|---|---|---|
Presenter or community partner contract | Yes | Cost is reasonable and deliverables are specific |
Light refreshments | Yes | Used to reduce barriers to attending |
Dinner | Yes, at mealtime | Event runs during a typical mealtime, within the per-person cap |
Childcare | Yes | For on-site family events |
Transportation | Yes | When needed for on-site events |
Interpreters and translation | Yes | No special condition |
Take-home learning materials | Yes | Nominal and educationally related, such as books or kits |
Printing and invitations | Yes | Materials for the family engagement activity |
Gift cards | No | Listed as unallowable |
Door prizes and raffle items | No | Listed as unallowable |
T-shirts and promotional items | No | Listed as unallowable |
Decorations, balloons, tablecloths | No | Listed as unallowable |
Food for staff | No | MSDE bars food for staff training, and New York bars staff food outright; order for families |
Other states draw the same lines. New York's Title I allowable uses for parent and family engagement allows light refreshments, childcare and transportation, and rules out door prizes, gift cards and food for staff.
Can Title 1 funds be used for food at a family money night?
Title 1 funds can pay for food at a family money night when the food helps families attend and the cost stays reasonable. MSDE generally allows a full meal only when the event falls during a typical mealtime. Light refreshments are allowed to encourage attendance.
MSDE lists these per-person limits and mealtime windows:
Food | Limit per person | Typical mealtime window |
|---|---|---|
Light snacks | $4 | Any time |
Breakfast | $6 | 7:30 to 10:30 a.m. |
Lunch | $11 | 11:30 a.m. to 2:30 p.m. |
Dinner | $15 | 5:00 to 8:00 p.m. |
MSDE's guide also summarizes the range as "$4-$15 per person depending on the meal." Confirm the exact numbers with your district before you order.
Two documentation rules come with food. MSDE asks districts to collect RSVPs before ordering, and it requires sign-in sheets for every attendee so the receipt can be matched to a real event. Alcohol is never allowed.
Take-home kits vs. incentives
Take-home learning kits are allowable at a family money night; gift cards and prizes for showing up are not. MSDE allows "small incentives for parents to attend that are nominal and educationally related (books, craft kits, etc.)." The same guide lists "incentives or items used as incentives to participate in a program" as unallowable.
The difference is whether the item teaches. A coin-sorting kit that a family uses during the session and keeps practicing with at home is a learning material. A $10 gift card handed out at the door is an incentive, and it's out.
A good take-home kit also extends the night. Include a one-page guide to teaching budgeting at home so the conversation keeps going after the event.
If a local business wants to donate raffle prizes, that's a different question. Washington's education agency notes in its parent and family engagement allowable costs that door prizes may be donated by others. Keep donated items off the Title I budget entirely.
Who can attend: schoolwide vs. targeted assistance schools
Who can attend depends on your school's Title I program type. In a schoolwide program, every family in the school can attend a Title I-funded money night. In a targeted assistance program, Title I money serves only families of students identified for services, and MSDE says costs may be prorated by the number of qualifying families.
Schoolwide program. Open the night to all families. Most Title I schools run this model: 86 percent did in 2022-23, according to the U.S. Department of Education.
Targeted assistance program. Invite everyone if you like, but charge Title I only for the qualifying families' share. Pay for the rest from another source.
Family financial literacy night ideas by grade band
A family financial literacy night works best when each activity ties to something students are learning in class. Split families by grade band, keep each activity to 20 or 30 minutes, and make sure parents do the activity with their child instead of watching.
Grade band | Activity | Academic link |
|---|---|---|
K-2 | Sort and count coins and bills, then "buy" items from a price board | Maryland's new K-2 math standards assess money in Grade 1 |
3-5 | Needs vs. wants shopping game with a fixed budget, or a round of financial literacy bingo | Addition, subtraction and decision-making |
6-8 | Monthly budget challenge with surprise expenses | Percentages and ratios |
9-12 | Read a sample first paycheck together, using our guide on how to read a pay stub | Maryland's required personal financial literacy instruction under COMAR 13A.04.06.01 |
Two existing models are worth borrowing from. The University of Chicago's Financial Education Initiative ran a Family Money Night pilot for about 225 families across three nights in spring 2022, and each family got a bag with conversation cards, a read-aloud book and playing cards for math games. The Mississippi Council on Economic Education's Family Financial Fun Nights run separate versions for grades K-5 and 6-12.
A sample 90-minute family money night schedule
A family money night fits in 90 minutes. Starting at 5:30 p.m. puts the meal inside MSDE's 5:00 to 8:00 p.m. dinner window, which makes a light dinner easier to justify. This run-of-show covers sign-in, grade-band stations, a family activity and the survey.
Time | Segment | What happens |
|---|---|---|
5:30 | Sign-in and light dinner | Families sign in, pick up name tags and eat |
5:50 | Welcome | 10 minutes: why money talk at home matters, plus the plan for the night |
6:00 | Grade-band stations | 40 minutes: parents and children do the activity together |
6:40 | Family planning activity | 15 minutes: each family sets one savings goal and writes it down |
6:55 | Survey and take-homes | Families complete a short survey and collect their kit |
Keep childcare in a separate room for younger siblings so parents can focus. Line up interpreters before the invitations go out, not the day of.
The paper trail: a 10-step planning checklist
A family money night gets approved and stays out of audit trouble when the paperwork exists before the money is spent. These 10 steps cover what a Title I office will check, and each step leaves behind a document you can file.
Check with the district Title I office. Confirm the school's share of the family engagement reserve and whether the night fits. Document: email confirmation.
Get parent input. Raise the idea at a Title I parent meeting or through a survey. Document: meeting minutes or survey results.
Write it into the plan. Add the night to the school's parent and family engagement policy or school-parent compact activities. Document: updated plan.
Set the agenda. Name the learning goal for each segment. Document: agenda.
Get presenter quotes. Ask any outside partner for a quote with specific deliverables. Document: quote and contract.
Collect RSVPs. Use them to size the food order and the kits. Document: RSVP list.
Order food within the caps. Stay inside MSDE's per-person limits. Document: itemized order.
Run sign-in sheets. Every attendee signs in. Document: sign-in sheets.
Survey families. Ask what they learned and what they want next. Document: survey results.
File itemized receipts. Keep everything under the district's records retention schedule. Document: receipts.
The survey matters more than it looks. It's the evidence that the night worked, and it's the parent input for next year's plan.
Frequently asked questions
Can Title 1 funds be used for food?
Title 1 funds can pay for light refreshments at parent and family engagement events, and for meals when the event falls during a typical mealtime. In Maryland, MSDE caps food at $4 per person for snacks up to $15 per person for dinner. Sign-in sheets are required, and alcohol is never allowed.
What are some creative ways to spend Title 1 family engagement funds?
Title 1 family engagement funds can pay for family math or money nights, take-home learning kits, parent workshops, interpreters, childcare and transportation to school events. The common thread is that each activity helps parents support their child's learning. Parents should help choose the activities.
Can we give families gift cards or raffle prizes?
No. MSDE lists gift cards, door prizes and incentives to participate as unallowable Title I costs. Nominal, educational take-homes such as books or learning kits are allowed. A local business can donate raffle prizes if they stay off the Title I budget.
Can Title I family engagement funds pay an outside presenter?
Yes. MSDE allows contracts with community organizations when the cost is reasonable and the deliverables are specific. Get a written quote that names what the presenter will deliver, such as the session, materials and take-home kits.
What are some ideas for a family financial literacy night?
Good family financial literacy night ideas include coin sorting and a pretend store for K-2, a needs vs. wants shopping game for grades 3-5, a budget challenge for middle school and reading a sample pay stub for high school. Parents and children should do each activity together.
What to do next
A family money night is an allowable use of Title I family engagement funds in Maryland. The approval usually comes down to the paperwork: parent input, an agenda, food inside MSDE's caps, sign-in sheets and itemized receipts.
Start with the Title I office and a parent meeting. Once you have a date and a rough headcount, the rest is logistics.
Diapers 2 Deposits builds hands-on financial literacy sessions matched to grade bands. Send us your date and grade bands, and we'll build the session, the take-home kits and an agenda your Title I office can file. See how we work with schools.
