Texas is released the second installment of Education Freedom Account funding Thursday, October 1, as the state’s first-year school choice program moves into its next payment period.
Private-school students participating in the Texas Education Freedom Accounts program are receiving an additional 25% of their annual award, according to the state’s official funding schedule.
The payment follows the first 25% installment issued earlier this summer. The remaining 50% is scheduled to be deposited February 1, 2027.
Students must remain enrolled in a participating private school to receive subsequent installments.
Most Private-School Students Receive $10,474
The standard Education Freedom Account award for a student attending a participating private school is $10,474 for the 2026-27 school year.
According to the Texas Education Freedom Accounts program, the amount represents 85% of the estimated statewide average state and local funding per student in average daily attendance.
A student receiving the standard $10,474 award would receive approximately $2,618.50 in each of the first two 25% installments, with the remaining half scheduled for February.
Students with qualifying disabilities may receive substantially more.
A private-school student with a qualifying Individualized Education Program on file with the state may receive up to $30,000, depending on the amount of funding the student’s local public school district would have received to provide services under the IEP.
Students with disabilities who do not have a qualifying IEP on file receive the standard $10,474 private-school award.
Homeschool Students Follow Different Funding Schedule
Students participating through the homeschool or other education category follow a different funding schedule.
Those students receive $2,000 annually and receive the full amount in a single installment rather than through the private-school installment schedule, according to the state’s funding guidance.
The program allows families to use funds for approved education-related expenses, depending on the student’s educational setting.
Participating private schools can accept TEFA funds for qualifying tuition and fees. The state’s guidelines for participating schools state that schools should not charge students different tuition or fees simply because they receive a TEFA award.
More Than 100,000 Awards Issued
Demand for the inaugural program far exceeded the number of immediately available awards.
The state received more than 274,000 applications during the application window, which ran from February 4 through March 31, according to the Texas Education Freedom Accounts website.
More than 100,000 students have since received awards.
The state used a priority framework established by the Legislature to determine which students received funding first when demand exceeded available resources.
Students with disabilities and students from lower-income households received priority under that system.
Waitlisted Students Can Still Receive Awards
Students placed on the waitlist have continued moving into the program as funding becomes available.
The state has issued additional awards when previously selected families declined participation, changed educational settings, or when other program funds became available.
Students brought off the waitlist after July 15 may receive prorated awards depending on when enrollment is confirmed.
According to the state’s funding schedule, private-school students who confirmed enrollment by September 15 are eligible for the October 1 installment.
Students added later may receive reduced funding based on when they enter the program.
Prior Dallas Express Coverage Tracked Early Demand
As previously reported by The Dallas Express, Texas had funded Education Freedom Accounts for 85,344 students by late July, amid application totals that far exceeded the initial number of available awards.
Since then, the state has continued issuing additional awards to students who were initially placed on the waitlist.
The 2026-27 application window is now closed, according to the program’s family information page.
Families who did not apply during the first cycle can join an interest list for updates about the 2027-28 program.
