This study investigated elementary and secondary teachers' morale levels and their perceptions of the morale levels of their colleagues. Between April 1998 and April 1999, participating teachers completed the Teacher Outlook and Perceptions Survey, which contained 47 items reflecting their work experiences and what they see in the future for their jobs. Data analysis indicated that the morale defined by the group was an inaccurate assessment of teachers' individual morale levels. The elements within the building did not predict individual morale and colleague's morale in the same way. The similar ratios of individual morale compared to colleague's morale indicated that peer assessment was not the best way to ascertain the morale in a building. The results indicate that teacher morale is primarily independent of the morale exhibited by colleagues. Although individual morale and the morale exhibited by colleagues are correlated, school factors influence the two in varying magnitudes. The results suggest that student behavior and learning have a much greater impact on teacher morale than does administrative behavior. An appendix contains the survey instrument. (SM)