✓ PASSED & SIGNED INTO LAW

Texas Education Freedom Accounts Bill 2025: What Families Need to Know

The Texas ESA bill created the Education Freedom Accounts (TEFA) program → Complete school choice legislation timeline, eligibility requirements, and application process for families

$10,800 per student
$500M funding
Applications open Jan 2025

Quick Answer: What is the Texas ESA Bill Status?

The Texas ESA bill (HB 1) passed both chambers in summer 2024 and was signed by Governor Abbott on August 15, 2024. After years of legislative debate, the Texas ESA bill finally became law, creating the Texas Education Freedom Accounts program. The program launched January 2025 with $500 million in funding, providing $10,800 per student annually. Applications opened January 15, 2025 for all K-12 students statewide, with priority access for special needs students, foster children, and military families.

Legislative Timeline: How the Texas Education Freedom Accounts Bill Became Law

2024

Legislation Passed

  • February 2024: HB 1 introduced by Rep. Brad Buckley with Governor Abbott endorsement
  • April 2024: House Public Education Committee approves bill 8-5
  • May 2024: Texas House passes HB 1 by vote of 85-61
  • June 2024: Texas Senate passes companion bill 18-13
  • August 15, 2024: Governor Abbott signs bill into law at Capitol ceremony
  • September-December 2024: TEA develops application portal and vendor approval process
2025

Program Launch

  • January 1, 2025: TEFA program officially begins
  • January 15, 2025: Application portal opens at tea.texas.gov/esa
  • January-February 2025: Priority applications processed (special needs, foster, military)
  • March 2025: First ESA funds distributed via ClassWallet cards
  • April 2025: General applications processed on rolling basis
  • August 2025: Second academic year enrollment begins
2026+

Program Expansion Expected

  • 2026 Session: Legislature expected to increase funding to $1+ billion
  • Projected Participation: 100,000+ students by 2027 (2% of Texas K-12 enrollment)
  • Funding Increase: Award amount may rise to $12,000-13,000 per student

Texas TEFA School Choice Program Details

Award Amount
$10,800
Per student annually (2024-25)
Total Funding
$500M
Year 1 allocation (2025)
Expected Participants
46,000
Students in Year 1

Who Qualifies for Texas Education Freedom Accounts?

Universal Eligibility (2025)

  • All K-12 students in Texas
  • No income limits apply
  • Homeschool students eligible
  • Private school students can switch
  • Charter school students can transfer

Priority Enrollment (Year 1)

  • Students with IEPs or 504 plans
  • Foster care and adopted children
  • Military families (active duty)
  • Students in D or F-rated districts
  • Processed January-February 2025

No Previous Public School Attendance Required

Unlike many states, Texas ESA does not require students to have attended public school first. Current private school and homeschool families can apply immediately.

How to Apply for Texas ESA

1

Create Account at TEA Portal

Visit tea.texas.gov/esa and click "Apply Now." Create a parent account using your email address. You will receive a verification email within 5 minutes.

⏱️ 5-10 minutes
2

Gather Required Documents

Collect the following documents (PDF or JPG format):

  • Child birth certificate or passport
  • Proof of Texas residency (utility bill, lease, mortgage statement)
  • Parent/guardian photo ID (driver license or state ID)
  • IEP or 504 plan (if applying for priority enrollment)
  • Current school enrollment verification (report card or transcript)
⏱️ 15-20 minutes
3

Complete Application Form

Fill out the online application with student information, educational history, and intended use of funds. Upload all required documents. Review and submit electronically.

⏱️ 20-30 minutes
4

Await Approval & Receive Funds

TEA processes applications in 2-4 weeks. Approved families receive ClassWallet debit cards loaded with quarterly ESA funds ($2,700 per quarter). Funds available for immediate use at approved vendors.

⏱️ 2-4 weeks processing

Funding is First-Come, First-Served

With only $500 million allocated for Year 1, funds may run out before the school year ends. Priority applicants (special needs, foster, military) should apply immediately when the portal opens January 15, 2025.

What Can Texas ESA Funds Pay For?

✓ Approved Expenses

  • Private school tuition and fees
  • Homeschool curriculum and materials
  • Online learning platforms and courses
  • Private tutoring services
  • Therapy services (speech, OT, PT, ABA)
  • Standardized testing and assessment
  • Dual enrollment college courses
  • Educational software and apps
  • Textbooks and learning materials
  • Educational field trips

✗ Not Allowed

  • Sports equipment and uniforms
  • Musical instruments
  • Recreational activities
  • Transportation costs
  • Room and board
  • Non-educational technology
Using ESA funds for non-approved expenses may result in program removal and repayment requirements.

Need Help Navigating the Texas ESA Application?

Our Texas ESA specialists help families complete applications, gather documentation, and maximize their $10,800 award. We have helped 200+ Texas families successfully apply in the first month.