Bermudian Springs School District is funded by a combination of: a local earned income tax 1.2%, a property tax, two per capita tax $5 per anum Act 511 and Section 679, a real estate transfer tax 0.5%, Amusement Taxes 5%, coupled with substantial funding from the Commonwealth of Pennsylvania and the federal government. Grants can provide an opportunity to supplement school funding without raising local taxes. In the Commonwealth of Pennsylvania, pension income and Social Security income are exempted from state personal income tax and local earned income tax, regardless of the level of the individual's personal wealth. The average Pennsylvania public school teacher pension in 2011 exceeds $60,000 a year, plus they receive federal Social Security benefits. Both incomes are free of Pennsylvania state income tax and local income tax which funds local public schools.