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The newly created ESA program in Texas is rolling out for families for the 2026/27 school year. Here's what you need to know.
Sarah Jordan
CMO, LearningSpring
Starting in February 2026, Texas families will be able to apply for the new Education Savings Account (ESA) program, named Texas Education Freedom Accounts (TEFA or EFAs), signed into state law on May 3, 2025.
Every K-12 student who is a U.S. citizen residing in Texas is eligible to apply for an EFA, including public, charter, private, and homeschool students. However, the initial program is limited to around 80,000 accounts in its first year; students with disabilities and those in lower-income families will receive priority processing and acceptance.
Most students will receive about $10,500 annually. Students with state-recognized disabilities may receive up to $30,000, while homeschoolers receive $2,000.
Funds can cover private school tuition and homeschool expenses, as well as related expenses like tutoring, educational therapies, transportation, school supplies, and certain technology – giving families more flexibility than vouchers, which usually apply only to tuition. The finalized list of approved expenses and vendors has not yet been released.
Vouchers typically pay tuition directly to a private school. Texas chose ESAs to give parents more spending control and to cover additional costs associated with attending school. This decision mirrors national trends where families prefer flexible accounts to one-size vouchers.
If applications exceed funding, priority will go to students with disabilities and lower-income families.
No. Texas joins 17 other states using a form of voucher, ESA, or tax-credit scholarships, where donors fund scholarships in exchange for tax breaks. Texas isn’t using this model yet, but the new federal bill, the Working Families Tax Cuts Act or known as the “One Big Beautiful Bill,” sets the stage for possible future hybrid approaches.
While ESA application timing has been tentatively announced to start in February 2026, more details will be announced closer to launch.
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