This EdSource Q&A provides clear, accurate answers to some of the most common questions about the current state of education funding in California and what the state's fiscal crisis means for schools. School districts and other education stakeholders can share this brief with their communities and cite it in addressing questions about the potential impact of an all-cuts budget on public schools. Some of the facts documented in this paper include: (1) In an all-cuts budget, per-pupil funding could be reduced $1,197 since 2007-08, a 15% cut; (2) In 2007-08, California already ranked 43rd in the nation in per-pupil funding when adjusted for salary costs; (3) In 2008-09 California had about half as many district administrators, guidance counselors and high school teachers per 1,000 students, compared with the U.S. average; and (4) Based on financial reporting for 2009-10, the average California school district spends three quarters of its money on instruction and instruction-related expenses and just 5% on general administration.