The paper provides an overview of Vocational Education and Training in School (VETIS) and its provision across States and Territories. Costs are affected by the nature of the training provided under VETIS, the quality of the teaching and the workplace learning accompanying it. A major question is whether this can be accommodated within existing school budgetary arrangements or whether additional funding is needed not only in the development phase but also in the longer term. Possible policy solutions to cost problems are canvassed. A broad proposal for the funding of all post compulsory education is that funding should be attached to students and follow them pro rata wherever they are enrolled. Recognizing that this approach may raise issues for small and rural schools, the authors suggest that such schools may need additional help for VETIS and for programs designed to assist students most at risk of poor levels of learning and early leaving. Costs of VETIS and key learning areas in senior secondary schooling are appended. (Contains 3 footnotes, 1 box and 14 tables.)