TEFA Overview
Texas Education Freedom Accounts: Program Overview
The Texas Education Freedom Accounts (TEFA) program is a state-funded education savings account initiative that gives eligible Texas families access to funds for approved education expenses. Created by the Texas Legislature in 2025 under Senate Bill 2 and administered by the Texas Comptroller of Public Accounts, TEFA is designed to support parents who choose educational options outside the traditional public school system—including private school and homeschool. This page provides an overview of how the program works, funding amounts, approved expenses, and where to find more detailed information.
Last updated: February 2026. Source: educationfreedom.texas.gov
What Is TEFA?
TEFA stands for Texas Education Freedom Accounts. It is an Education Savings Account (ESA) program that allows accepted families to use state-allocated funds for approved education-related expenses. Funds are deposited into an account managed through Odyssey, the certified educational assistance organization (CEAO) selected to administer the program under the Comptroller's oversight.
Key points:
- Not first-come, first-served. Applications are accepted during a defined window; if funding is limited, a lottery based on priority tiers determines who receives funds.
- Funds roll over. Money remaining at the end of the school year carries forward as long as the child stays in the program.
- Participants in good standing do not reapply annually. Families confirm continuation each year.
Funding Amounts for 2026-27
The amount your child may receive depends on their educational setting. The Texas Education Agency (TEA) sets the base amount annually.
| Educational Setting | Annual Amount | Notes |
|---|---|---|
| Private school or pre-K/kindergarten | $10,474 | 85% of statewide average per-student funding (TEA-calculated) |
| Private school with disability (IEP on file) | Up to $30,000 | Based on district funding for services under the child's IEP |
| Homeschool or not in public/pre-K/K | $2,000 | Fixed annual amount |
The $10,474 figure applies to children enrolled in an approved private school or an approved pre-K or kindergarten program. For children with a disability who qualify for the higher amount, the child must have an Individualized Education Program (IEP) on file with the Texas Education Agency by the end of the application period. The distinction between IEP and 504 plans is important for the $30,000 tier—see our special needs funding page for details.
Homeschool families receive $2,000 per eligible child. For a full breakdown of homeschool eligibility and approved uses, see our homeschool funding page.
You can estimate your potential funding using our calculator.
Who Qualifies (Brief Summary)
Eligibility is determined by the state. In general, the child must:
- Be a U.S. citizen or lawfully present in the United States
- Be eligible to attend a Texas public school, open-enrollment charter school, or pre-K/kindergarten program
- Reside in Texas
The parent must be a Texas resident. Income does not disqualify a family, but if applications exceed available funding, a prioritization order (based on income and other factors) determines who receives funds. For complete eligibility rules and prioritization details, see our eligibility page.
Approved Expenses
TEFA funds may be used for the following approved education-related expenses through the program marketplace:
Educational services and materials:
- Tuition and fees at an approved private school, higher education provider, online course or program, or industry-based credential program approved by TEA
- Textbooks and other instructional materials
- Required uniforms
- Fees for classes provided by school districts that do not count toward average daily attendance
Other approved expenses:
- Academic assessment costs
- Private tutoring
- Transportation to and from approved providers
- Educational therapies not covered by Medicaid or other government benefits
- Computer hardware or software (capped at 10% of the annual amount transferred to the child's account)
- Meals provided by a private school
Restriction: Funds may not be used to pay a family member for services.
How to Apply (Summary)
The application window for the 2026-27 school year runs February 4 – March 17, 2026. Applications must be submitted by 11:59 p.m. Central Time on March 17. Families apply through the official Odyssey portal at educationfreedom.texas.gov.
Because the program is not first-come, first-served, applying earlier does not improve your chances. For step-by-step instructions, document requirements, and timeline details, see our application guide.
Finding Participating Schools and Providers
Not all private schools participate in TEFA. The official TEFA School Finder lets families search for participating schools and education services by location. New participants are added regularly.
If you are considering a specific metro area, we provide local context and funding considerations for families in Austin, Houston, Dallas, San Antonio, Fort Worth, El Paso, Arlington, Plano, Lubbock, and Corpus Christi.
Additional Resources
- Eligibility — Full eligibility requirements and prioritization tiers
- Application Guide — Step-by-step application process and timeline
- Special Needs Funding — $30,000 tier, IEP vs. 504, and proof-of-disability
- Homeschool Funding — $2,000 amount and approved homeschool expenses
- FAQ — Common questions and answers
- Official portal: educationfreedom.texas.gov
Frequently Asked Questions (Overview)
What is the Texas Education Freedom Accounts program?
The Texas Education Freedom Accounts (TEFA) program is a state-funded education savings account that allows eligible Texas families to use funds for approved education expenses—including private school tuition, tutoring, homeschool materials, and more. The program is administered by the Texas Comptroller and operated through Odyssey.
How much funding can my child receive?
It depends on the educational setting. Private school students receive $10,474 for 2026-27. Students with a disability who have an IEP on file may receive up to $30,000. Homeschool students receive $2,000 annually. Learn more about funding amounts.
What can TEFA funds be used for?
Approved expenses include tuition at participating private schools, textbooks, tutoring, educational therapies, computer hardware and software (up to 10% of the annual amount), transportation to approved providers, and other items listed on the official program site. Funds cannot be used to pay a family member.
Is TEFA first-come, first-served?
No. You can apply anytime during the application window (February 4 – March 17, 2026) without affecting your chances. If eligible applicants exceed available funding, a lottery based on priority tiers determines placement.
Where do I apply?
Applications are submitted through the official Odyssey portal. Visit educationfreedom.texas.gov to apply or sign up for updates.