To calculate what an Indiana school referendum will cost you, take your home's net assessed value after homestead deductions, divide by 100, and multiply by the referendum rate. For a homestead on taxes payable in 2027, net AV is gross AV minus a $40,000 standard deduction, minus another 46% of what remains. No circuit breaker cap limits the result, and neither does the $300 SB 1 credit.
That math matters this fall. A record 38 school districts put property tax referendums on the November 3, 2026 ballot, and their operating levies would bring in about $500 million a year combined, according to the Indiana Capital Chronicle. For the full list and why districts are asking, see our statewide referenda preview.
Step 1: Find Your Net Assessed Value
Start with the gross assessed value from your 2026 Form 11 notice or your county's parcel record. Your 2027 bill is based on the January 1, 2026 assessment. Then apply the deductions in order:
- Standard homestead deduction: $40,000 for the 2026 assessment date (IC 6-1.1-12-37(c)(2)(B)). It is now a flat amount that shrinks each year; our 2026-2031 schedule shows each year.
- Supplemental homestead deduction: 46% of the AV left after the standard deduction, for taxes payable in 2027 (IC 6-1.1-12-37.5(c)). It cannot exceed 75% of gross AV.
No homestead on file means no deductions. Our homestead guide covers how to claim one; the pay-2027 deadline is January 15, 2027 (checklist).
Step 2: Multiply by the Referendum Rate
Referendum rates are stated per $100 of assessed value. Divide your net AV by 100 and multiply by the rate.
Note
Hypothetical example, round numbers. A homestead with a gross AV of $300,000 in a district asking for $0.40 per $100.
- Standard deduction: $300,000 - $40,000 = $260,000
- Supplemental deduction: $260,000 x 46% = $119,600, so $260,000 - $119,600 = $140,400 net AV
- Referendum cost: $140,400 / 100 x $0.40 = $561.60 per year
If the district already collects a $0.20 referendum rate that the new one would replace, the actual increase is $140,400 / 100 x $0.20 = $280.80.
This is the same method county auditors use for the cost figure printed on the ballot. Run Carmel Clay's numbers through it ($500,000 median home, $0.4274 rate) and you get $1,061.66, which the ballot rounds up to the $1,062 that the Department of Local Government Finance approved.
Step 3: Know Why the Caps Don't Help
Indiana's circuit breakers limit a homestead's tax bill to 1% of gross AV. But IC 6-1.1-20.6-7.5(b) says voter-approved referendum taxes "shall not be considered" when calculating the cap credit. So the referendum amount is added on top of a capped bill. If your home is already at its 1% cap, every dollar of the referendum is new money out of your pocket. See our caps explainer and Indianapolis cap exposure for the mechanics.
Step 4: The SB 1 $300 Credit Doesn't Offset It Either
SEA 1-2025's supplemental homestead credit is 10% of your homestead bill, up to $300, and the auditor applies it automatically (how it works). But IC 6-1.1-20.6-7.7(d) uses the same exclusion: referendum taxes are not counted when the credit is calculated. A new referendum levy does not raise your credit, so plan on paying the full amount from Step 2. To see your whole bill with the credit applied, use our 2026 bill estimator walkthrough.
Warning
Rentals and other non-homestead property get none of the homestead deductions. For pay-2027, residential rentals and ag land do get a separate 12% deduction under IC 6-1.1-12-47. A $300,000 rental in the hypothetical district above would pay $300,000 x 88% / 100 x $0.40 = $1,056, nearly twice what the homestead pays.
Requested Rates in Selected Districts
Every ballot question has to state a maximum rate, the district's median home value (rounded up to the next $50,000), and the yearly increase for that median home (IC 20-46-1-10). The figures below come from the DLGF's final ballot determinations, posted on its referendum information page.
| District | County | Max rate per $100 | Term | Ballot median home | Ballot annual increase |
|---|---|---|---|---|---|
| Carmel Clay Schools | Hamilton | $0.4274 | 8 yrs | $500,000 | $1,062 |
| Westfield Washington Schools | Hamilton | $0.3941 | 8 yrs | $450,000 | $873 |
| Noblesville Schools | Hamilton | $0.57 | 8 yrs | $350,000 | $955 |
| West Lafayette Community School Corp. | Tippecanoe | $0.5706 | 8 yrs | $350,000 | $956 |
| MSD of Wayne Township | Marion | $0.70 | 8 yrs | $200,000 | $605 |
| Indianapolis Public Education Corp. | Marion | $0.372 | 4 yrs | $150,000 | $221 |
| Mississinewa Community School Corp. | Grant | $0.4950 | 8 yrs | $150,000 | $294 |
| Tipton Community School Corp. | Tipton | $0.25 | 8 yrs | $200,000 | $216 |
| River Forest Community School Corp. (extension) | Lake | $0.9912 | 8 yrs | n/a | n/a |
| Clark-Pleasant Community Schools (extension) | Johnson | $0.09 | 8 yrs | n/a | n/a |
State law requires the ballot figure to assume the district has no current referendum, as the Chalkbeat Indiana and WFYI referendum guide explains. Westfield is a good example: it already collects $0.17 under a 2022 referendum that the new rate would replace, so the district puts the real increase for a $450,000 home at about $494, not $873. If your district has an existing rate, do the math on the difference. Indianapolis voters can find the IPS breakdown in our IPS referendum cost analysis, and every Marion County question is covered in the county ballot guide.
Your Pre-Election Checklist
- Get your gross AV from your Form 11 or county parcel record, or look it up with AribaTax Property Lookup.
- Make sure your homestead is on file. Without it, you pay the rate on your full gross AV.
- Calculate your net AV: subtract $40,000, then subtract 46% of what's left.
- Multiply by the rate divided by 100. The rate is in your district's DLGF determination.
- Subtract any existing referendum rate that the new one would replace.
- Vote by November 3. Early voting begins October 6, and indianavoters.in.gov has your sample ballot.
If your gross AV looks too high, keep in mind that the referendum rate applies to it too, with no cap. Our tax appeal service can help you challenge it in the next appeal cycle.