The Medford School Board has approved the spending of $200,000 to cover the difference, after district administrators received a pay increase last Fall.
The board met Monday night, and voted 5 to 2 for the budget amendments.
In August, the board approved a wage increase that cost $350,000, cutting an early retirement option.
The savings in the insurance costs came out to $150,000 leaving the $200,000 difference.
The district is on schedule to spend $1 million less than anticipated this fiscal year.