TEFA private school vs. homeschool track: how to choose

If your family was awarded a Texas Education Freedom Account, you're facing a real decision right now: which track do you enroll in?

The answer shapes not just how much money you receive, but how your child's education is structured for the entire 2026–27 school year. Here's a clear breakdown of what each track involves, what you'll receive, and how to think through the choice for your specific situation.

The two TEFA tracks

TEFA funds two distinct educational paths:

Private school track — your child attends an approved, accredited Texas private school. Funding is $10,474 for the 2026–27 school year (85% of the statewide per-student average). If your child has an IEP, they may qualify for up to $30,000 depending on their individualized plan.

Homeschool/other track — your child is educated at home or outside the public and private school system. Funding is $2,000 per year. This track has no school accreditation requirements and gives families the most scheduling and curriculum flexibility.

Both tracks are fully supported under TEFA. They serve different families with different priorities.

What each track covers

Regardless of which track you choose, TEFA funds can be used for:

• Tuition and fees at private schools, online programs, and CTE/industry-credential programs
• Textbooks and instructional materials
• Academic assessments
• Private tutoring
• Transportation to and from approved providers
• Educational therapies not covered by government benefits
• Computer hardware or software (up to 10% of your total award)

Unspent funds roll over year to year as long as your child stays in the program, so there's no pressure to spend everything in a single year.

The private school track: what you need to know

Private school students receive the largest TEFA award. But accessing that funding requires enrolling in a private school that meets TEA's criteria:

• The school must be accredited by an organization recognized by the Texas Private School Accreditation Commission or TEA
• It must have been in continuous operation for at least two school years before applying
• Students in grades 3–12 will take an annual nationally norm-referenced assessment

If your child has an IEP, the private school track unlocks significantly more funding — but the IEP must be on file with TEA, and the award is calculated based on the IEP's instructional arrangement code. Most families with IEPs receive less than $30,000; the amount on your award letter is the actual figure.

Private school families receive funds in three installments: 25% on July 1, 2026; 25% on October 1, 2026; and the remaining 50% on February 1, 2027.

The homeschool track: what you need to know

The homeschool track gives families the most control. There are no school accreditation requirements, no mandated curriculum, and no required assessments under TEFA itself (though Texas homeschool law applies — see our guide to Texas homeschool laws and TEFA for what's required separately from the program).

The $2,000 annual award deposits as a single payment on July 1, 2026 — so homeschool families have their full year's funding available from day one.

The tradeoff is the funding amount. $2,000 covers a meaningful amount of supplemental learning — online classes, tutoring, curriculum materials — but it doesn't replace the tuition cost of a private school. Families who value full curriculum autonomy or who want to supplement a home-based education tend to find the homeschool track the stronger fit.

Families with IEPs: a critical distinction

If your child has an IEP, the track decision carries the biggest financial difference of any scenario.

On the private school track, a qualifying IEP can increase your award to anywhere between $2,000 and $30,000, based on your child's instructional arrangement. That's potentially significant funding for a child with meaningful support needs.

On the homeschool track, the award is $2,000 regardless of IEP status.

One important note: private schools are not required to provide special education services under IDEA in the same way public schools are. Families choosing this route should research whether the school they're considering has the staff and experience to support their child's needs before enrolling. Our guide to what Texas IEP families should know about TEFA covers this in detail.

How to decide

Do you want to stay involved in your child's day-to-day education? The homeschool track gives you that control. The private school track hands that structure to the school.

Is your child's primary need a full-time school environment? If you're looking for a complete educational setting, private school is worth the enrollment process.

Does your child have an IEP with significant support needs? The funding difference between tracks is substantial. Look at your specific award letter before deciding.

How do you feel about accreditation requirements? Not all private programs qualify. Confirm any school you're considering is TEFA-approved before committing.

Frequently asked questions

Can I switch tracks after I've enrolled?

Track changes may affect your award amount. Contact your Odyssey portal or the TEFA program office before making any mid-year change.

Can my child participate in extracurriculars at a Texas public school while on TEFA?

This varies by district. Contact your local district directly for their current policy.

What happens to unused funds?

Unused TEFA funds roll over year to year as long as your child remains in the program. There's no use-it-or-lose-it pressure within a single school year.

Where can families find approved providers?

The TEFA Finder at finder.educationfreedom.texas.gov lets families search for approved vendors by category. Outschool is listed as an approved provider in the Tutoring, Enrichment, Classes, and Curriculum categories.

Do I have to choose my track before July 1?

Opt in by June 15 to receive your first funds on July 1. Miss that but opt in by July 31, and you'll still receive funding by mid-August. Private school families need their school to confirm enrollment; homeschool families should log into their Odyssey portal to confirm participation status directly. If you're joining after July 31 off the waitlist, funding arrives as soon as it can be processed, and may be prorated if you confirm after July 15.