The correlation between socioeconomic status and academic achievement does not just apply to individual students--the concentration of poverty in schools matters, too. Schools with concentrated poverty require more state funding in order to best serve their students. But it is not just about how much; to be equitable, states must spend enough money on these schools and spend it well. In this paper, we identify four levels of funding equity, assess where states fall on the spectrum, and highlight the importance of strategic resource allocation in achieving equity for all students.