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What is an education savings account (ESA)?

Discover how Education Savings Accounts (ESA) work and how they can benefit your homeschool experience.
Lisa Thorsen
Written byLisa Thorsen
3 min read
Key takeaways
  • An Education Savings Account (ESA) allows parents to access state education funds for various schooling expenses, providing flexibility in choosing educational resources
  • By 2026, 13 states offer universal ESAs, enabling families to customize their homeschool experience with funds for online courses, tutoring, and materials, making it a valuable option for homeschoolers.

An Education Savings Account (ESA) is a government-backed savings account for parents. It allows them to use state education funds for their children's schooling expenses, giving them more control over their education choices.

As of 2024, 12 states have enacted universal or near-universal Education Savings Account (ESA) programs, with Arizona's program alone serving over 75,000 students — making state-funded homeschooling more accessible than ever (EdChoice, 2024). According to the National Center for Education Statistics (NCES), approximately 3.3 million students were homeschooled in the United States as of 2023, representing roughly 6% of the school-age population.

What is an education savings account?

An Education Savings Account (ESA) is a publicly funded account approved by the government. It gives parents the power to use state education funds for their kids' learning costs. Unlike typical public schools where money goes directly to the school, ESAs let parents decide how to spend it on education. Initially set up in Arizona in 2011 for students with disabilities, ESAs have grown fast. By 2026, 18 states offer ESAs, with 13 of those being available for all K-12 students, no matter their income or situation.

States with ESA programs in 2026

The ESA scene is changing quickly. Back in 2022, only Arizona had universal ESA eligibility. Fast forward to 2026, and 13 states now offer universal or nearly universal programs. These states include Arizona, Arkansas, Florida, Iowa, New Hampshire, North Carolina, Tennessee, Texas, Utah, West Virginia, Alabama, Georgia, and Wyoming. Other states like Indiana, Louisiana, South Carolina, Idaho, and Montana have programs but with different eligibility rules. Texas is launching its ESA program in 2026-27, with the biggest initial funding ever in the U.S.

ESA vs. vouchers: Key differences

Both ESAs and vouchers send public education money to families, but they work differently. Vouchers usually cover only private school tuition, sending money straight to one school. On the other hand, ESAs put funds into a family account. This allows families to spend on various educational needs and providers. For example, a homeschool family could use ESA funds for online math classes from one provider, writing help from another, and materials from yet another. This flexibility makes ESAs great for homeschoolers who want a tailored learning experience.

The bottom line

ESAs are a big leap forward for educational choice in many years. For homeschool families, they open up funding that was once just for public school kids. If your state has an ESA program, check it out. The application process usually needs some paperwork, but the funding can really boost your homeschool resources. With more states adding these programs each year, it's worth keeping an eye on, even if your state hasn’t joined yet.

Frequently Asked Questions

Lisa Thorsen
Written by
Lisa Thorsen

Co-founder, BetterSchool

Lisa is the co-founder of BetterSchool and a homeschool mom of three. BetterSchool administers the largest independent homeschool community in the country — over 350,000 families across all 50 states.

When COVID hit, Lisa and her husband pulled their children out of school and hit the road. Homeschooling wasn't the plan — it was a necessity. But somewhere along the way, the family fell in love with it: the time together, the ability to tailor lessons to each child's interests, learning at their own pace, the freedom to travel, eating healthy on their own schedule, and the countless other benefits that come with homeschooling.

As they traveled, Lisa kept discovering incredible hands-on learning experiences that most homeschool families had no way of finding. She built BetterSchool to make it easy for every family to find and book the experiences that make learning come alive.

Through her community, Lisa has helped hundreds of thousands of parents navigate homeschooling, while also helping local businesses find and serve the homeschool community. She is the former managing partner of a law firm focused on business law and mergers and acquisitions — BetterSchool is her second technology startup. She holds a J.D. from California Western School of Law and a B.A. from Penn State.

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Table of Contents

  • What is an education savings account?
  • States with ESA programs in 2026
  • ESA vs. vouchers: Key differences
  • The bottom line
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