TEFA rules in plain English
What Texas Education Freedom Accounts pay for, how much, when the funds arrive, and the limits that get orders turned down. Every rule links to its source.
Who runs it
TEFA is the state's education savings account program, created by Senate Bill 2 in 2025 and run by the Texas Comptroller. Families spend their funds through the Odyssey marketplace, which also approves vendors. Sources: Texas Education Code ch. 29, subch. J; TEFA providers and vendors page
How much, for 2026-27
| Setting | Amount per student | How it's paid |
|---|---|---|
| Private school (including online private schools) | $10,474 | 25% July 1, 25% October 1, 50% February 1 |
| Private school, student with a qualifying IEP | Up to $30,000 | Same schedule |
| Homeschool and other | $2,000 | One installment |
Sources: TEFA families page, approved expenses; Special education funding, 2026-27 (PDF); TEFA funding timelines and installments. The amount is set by a formula each year, so next year's may differ.
What the funds pay for
- Tuition and fees at a participating private school, a higher education provider, an online course or program, or a TEA-approved industry credential program
- Textbooks and other instructional materials
- Private tutoring and teaching services, from a qualified lead educator
- Educational therapies that insurance, Medicaid or CHIP doesn't cover
- Academic assessments
- Computer hardware and software, within the 10% tech limit
- Fee-for-service transportation to and from an approved provider
- Uniforms, when a school or course requires them
Sources: TEFA families page, approved expenses; Odyssey: eligible educational expenses
The limits that turn orders down
- Tech shares one limit. Laptops, tablets, desktops, monitors, printers, headphones, cameras, calculators, hot spots and software together can't exceed 10% of the student's award for the year: $200 on the $2,000 amount. A 3D printer is limited to one a year.
- Musical instruments are capped at $1,200 each. Odyssey raised this from $1,000 in October 2026.
- Tutors and teachers need a qualified lead educator. That means a current or retired employee of an accredited school, or someone with a credential the state lists, such as a teaching license from Texas or another state, a method certification like Orton-Gillingham, or a bachelor's or higher degree, plus a fingerprint background check.
- Therapy is covered only when insurance, Medicaid or CHIP doesn't pay.
- Funds are spent inside the Odyssey marketplace. TEFA can't pay you back for something you paid for yourself.
- No paying yourself or a relative, even when they teach.
Ordering in Odyssey
Every TEFA purchase happens in Odyssey's marketplace. Here is how Odyssey's help center says it works, and what to expect after you order.
- Log in to Odyssey, open your child's Wallet and tap Shop Marketplace.
- Search the vendor's name, or browse the category.
- Open the offering and read the price, the return and cancellation policy, and any restriction notice.
- Add it to your cart, pick your child, and check out.
- No cancelling. Odyssey has a no-cancellation policy for products and services. Returns are only for damaged or incorrect items, reported with photos within five business days of delivery, and a refund can take up to six weeks to reach your account.
- Services. The vendor accepts the order, then emails you within two business days to set it up. An order with no status is still waiting for the vendor.
- Products. Marketplace prices include shipping and sales tax is added at checkout. Orders ship only within Texas. If a vendor runs out of stock, it cancels the order and the funds go back to your account.
- Can't find a vendor? The state approves the vendor, and each offering is listed in the marketplace separately. An offering drops out of the marketplace when it's out of stock, and a vendor can hide one. Ask the vendor what it's called there and whether it's live.
- Private-school tuition isn't bought in the marketplace. The school enters its tuition and fees in Odyssey and you confirm them on your dashboard.
Sources: Odyssey: how to shop in the marketplace (updated Sep 28, 2026); Odyssey: refunds, returns and cancellations (updated Oct 12, 2026); Odyssey: when you'll hear from a service vendor; Odyssey: where to find your order status (updated Sep 6, 2026); Odyssey: marketplace price policy; Odyssey: shipping stays in your program's state; Odyssey: why an order gets cancelled; Odyssey: where funds go when an order is cancelled; Odyssey: offerings and stock (vendor help); Odyssey: hiding an offering (TEFA vendor help, updated Aug 19, 2026); Odyssey: confirm the tuition and fees set by the school (updated Oct 9, 2026). Read October 12, 2026.
When the funds arrive in 2026-27
| Date | What happens | Source |
|---|---|---|
| July 1, 2026 | First funds arrive | TEFA funding timelines and installments; Odyssey: TEFA funding timeline |
| August 15, 2026 | Late round (mid-August) | Odyssey: TEFA funding timeline |
| September 15, 2026 | Confirm for the full award | Odyssey: TEFA timeline |
| October 1, 2026 | Second private-school payment | TEFA funding timelines and installments |
| January 15, 2027 | Confirm for the February round | Odyssey: TEFA timeline |
| February 1, 2027 | Final private-school payment | TEFA funding timelines and installments |
Next school year
Families already in the program don't reapply. State law says the Comptroller can't make a participant in good standing reapply each year, and continuing families confirm they want to continue. As of October 26, 2026, the state hasn't published the 2027-28 application dates or amounts. It runs an interest list for updates.
Whether a family on the homeschool amount this year can move to the private-school amount next year isn't covered in the published rules yet. We'll write it up when the state does.
Sources: Texas Education Code ch. 29, subch. J; TEFA families page, approved expenses; 2027-28 interest list
About discounts
State law bars vendors and schools from rebating, refunding or sharing TEFA funds with a family. That's why the only deals we list are discounts open to every family. Source: Texas Education Code ch. 29, subch. J
More answers
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