What families should know ahead of next year’s Texas education savings account rollout

Texas has published its official rules for the new education savings account program, which will give eligible families state funds to use for private school tuition or homeschool expenses. The initiative, known as Texas Education Freedom Accounts, was approved earlier this year and is set to begin before the 2026 27 school year.

Private schools and education vendors already involved in the Parent Directed Special Education Services program may apply to join the ESA program starting Dec. 9. Additional vendors will have an opportunity to apply shortly after. Families will be able to submit their applications beginning Feb. 4. Odyssey, a company with experience managing similar programs in other states, is building the online platform for applications and account services.

Most participating students will receive roughly 10,300 dollars. That money can be used toward tuition at accredited private pre K through grade 12 schools, as well as costs like textbooks, tutoring, transportation and therapy. Homeschooling families may receive up to 2,000 dollars annually. Students with disabilities may receive as much as 30,000 dollars depending on their individual needs.

Approved students do not need to reapply each year if they maintain good standing. Families placed on a waitlist can revise their original application instead of starting over.

Students with disabilities may receive priority based on their family’s income. Families may provide a doctor’s note or documentation showing eligibility for federal disability benefits. To receive the full 30,000 dollars in special education funding, a student must complete a special education evaluation and receive an individualized education program, or IEP.

If applications exceed available funding, the state will consider them in this order:
• Students with disabilities in households earning up to 500 percent of the federal poverty level.
• Students in families earning up to 200 percent of the poverty level.
• Students in families between 200 and 500 percent.
• Students in families earning above 500 percent, which can make up no more than 20 percent of total funding.

Private schools are not required to participate in the ESA program. Those that do must be nationally accredited and have operated for at least two years, either in Texas or another state. They must also administer a nationally norm referenced exam and have a Texas location at the time they apply.

Private preschool students will receive the same 10,300 dollar amount as other private school students if they meet the state’s eligibility rules for free pre K. Children must be ages three to five and meet criteria such as limited English proficiency, qualifying for free or reduced meals or having a parent who is a public school teacher or member of the military.

Families now have a clearer view of what to expect as Texas prepares to open ESA applications early next year.