Texas Education Freedom Accounts (TEFA): Complete Guide for Families
Created by Senate Bill 2 (SB 2) with $1 billion in funding — the largest day-one school choice initiative in the nation. The 2026-27 application window has closed; sign up for the 2027-28 interest list to be notified when the next cycle opens.
Quick Answer: What Is Texas TEFA and How Do I Apply?
The Texas Education Freedom Accounts (TEFA) program was created by Senate Bill 2 (SB 2), passed by the 89th Texas Legislature in 2025 and effective September 1, 2025. The program provides $1 billion in state funding for eligible families to use toward private school tuition, homeschool expenses, tutoring, therapy, and other approved educational costs. The application window for the 2026-27 school year ran February 4 – March 31, 2026 and has now closed — more than 274,000 applications were received and over 100,000 awards were made. Families who missed this cycle can join the 2027-28 interest list at educationfreedom.texas.gov.
Last verified: — Sources: educationfreedom.texas.gov, Office of the Governor
TEFA Timeline: From SB 2 to Open Applications
SB 2 Passed & Signed Into Law
- 89th Texas Legislature: Senate Bill 2 (SB 2) introduced and passed, creating the Texas Education Freedom Accounts program
- $1 Billion Appropriated: Legislature allocates $1 billion for the TEFA program
- September 1, 2025: SB 2 becomes law
- December 2025: Private schools begin opting in and applying to participate; only accredited schools in operation for at least 2 years are eligible
Applications Open & First Year Launches
- February 4, 2026: Family applications open at educationfreedom.texas.gov (9:00 a.m. CT)
- March 17, 2026: Application deadline (11:59 p.m. CT) — also deadline for IEPs to be on file with TEA for disability funding
- After March 17: Odyssey conducts lottery within each priority tier to allocate funding
- Week of April 6, 2026: TEFA award notifications begin going out to families
- June 1, 2026: Deadline for parents to select participating schools
- June 15, 2026: Deadline for schools to confirm enrollment
- July 1, 2026: First round of TEFA funds available in Odyssey platform
- Fall 2026: 2026-27 school year begins — first year TEFA funds can be used
Current Status (as of October 2026)
- The 2026-27 application window is closed — it ran February 4 – March 31, 2026
- 274,000+ applications were received; over 100,000 awards have been made
- First awards are funding the 2026-27 school year now in progress
- Missed this cycle? Join the 2027-28 interest list at educationfreedom.texas.gov
Texas TEFA Program at a Glance
Who Qualifies for Texas TEFA?
All Texas children are eligible to apply if they live in Texas and are a U.S. citizen or were lawfully admitted. Because the $1 billion fund may have more applicants than available funding, students are grouped into four priority tiers. A lottery within each tier determines who receives funding.
Tier 1Students with Disabilities
- ★Families earning less than 500% FPL
- ★Requires IEP or approved disability certification
- ★Up to $30,000/year based on IEP needs
- ★Highest priority for funding
Tier 2Low-Income Families
- ★Families earning less than 200% FPL
- ★$10,474/year per private-school student (2026-27)
- ★Second priority after disability tier
Tier 3Middle-Income Families
- ★Families earning less than 500% FPL
- ★$10,474/year per private-school student (2026-27)
- ★Third priority tier
Tier 4Higher-Income Families
- ★Families earning above 500% FPL
- ★Still eligible, but lowest priority
- ★Priority given to students not already in private school
Homeschool Families Are Eligible
Sibling Policy
How to Apply for Texas TEFA
Join the Interest List for the Next Cycle
Visit educationfreedom.texas.gov/interest-list to be notified when the 2027-28 application window opens. Applications are processed through the Odyssey platform, selected by the Texas Comptroller's Office as the certified educational assistance organization (CEAO). The steps below describe how the application worked for the 2026-27 cycle.
Gather Required Documents
You will need:
- Most recently filed IRS tax return (2024 return if 2025 is not yet filed) — used to verify household income
- Proof of Texas residency and child's identity
- IEP documentation (if applying for disability tier — had to be on file with TEA by the close of the application period)
- Disability certification form (if applicable, available at educationfreedom.texas.gov)
Submit One Application Per Household
Submit one application for your household that includes all children you want to enroll. Applicants could log back in and make changes any time before the application window closed. Indicate whether each child will attend a participating private school or homeschool.
Wait for Award Notification
After the application window closed, Odyssey conducted a lottery within each priority tier to allocate available funding, with notifications in each applicant's portal. Awarded families selected a participating school, which then confirmed enrollment. Funds became available starting July 1, 2026 through Odyssey's platform.
Not First-Come, First-Served
What Can TEFA Funds Pay For?
✓ Approved Expenses
- ✓Private school tuition and fees
- ✓Homeschool curriculum and materials
- ✓Private tutoring services
- ✓Educational therapies (not covered by Medicaid or other government benefits)
- ✓Academic assessment costs
- ✓Computer hardware or software (up to 10% of account balance per year)
- ✓Transportation to/from approved providers
- ✓Meals provided by private school
- ✓Pre-K and kindergarten programs
✗ Not Allowed
- ✗Payments to a family member
- ✗Non-educational expenses
- ✗Therapies already covered by Medicaid or government benefits
- ✗Computer hardware/software exceeding 10% of annual account balance
Program Safeguards for Schools
- ℹReligious autonomy preserved — no curriculum or belief changes required
- ℹFlexible testing — norm-referenced tests (CLT, PSAT, SAT/ACT), not STAAR
- ℹAdmissions remain independent — schools retain full control
The 2026-27 TEFA Window Has Closed — Don't Miss 2027-28
The 2026-27 application window ran February 4 – March 31, 2026 and is now closed. More than 274,000 families applied, and over 100,000 students were awarded funding of $2,000–$30,000 depending on category. Join the interest list to be notified when the 2027-28 window opens.