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Understanding Education Freedom Accounts for homeschooling

Learn about Education Freedom Accounts (EFAs) and how they can support your homeschooling journey. Discover eligible expenses and fund management.
Lisa Thorsen
Written byLisa Thorsen
3 min read
Key takeaways
  • Education Freedom Accounts (EFAs) allow parents to manage public education funds for homeschooling, covering expenses like curriculum, tutoring, and online programs
  • States such as New Hampshire, Arkansas, and Texas offer these accounts, which can significantly reduce out-of-pocket costs for families by providing flexible funding for personalized education choices.

An Education Freedom Account (EFA) is a state-managed account that lets parents control public education funds. Instead of going to public schools, families can use this money for their chosen education options.

Research from the National Home Education Research Institute (NHERI) shows that homeschooled students typically score 15 to 25 percentile points higher than public school students on standardized academic achievement tests. 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).

What is an Education Freedom Account?

An Education Freedom Account (EFA) is a special type of Education Savings Account (ESA). It puts public education funds directly into an account that parents manage. Instead of the money going to a public school, families can use it for their preferred education choices. States like New Hampshire, Arkansas, and Texas call it an EFA. Other states might use names like Empowerment Scholarship Accounts or ESAs. The goal is the same: giving families flexible funding for personalized education.

Eligible expenses for homeschoolers

EFA funds can cover lots of costs that homeschool families usually pay for themselves. This includes:

  • Curriculum and textbooks
  • Online learning programs
  • Private tutoring
  • Educational therapy services
  • Standardized testing fees
  • Educational software
  • Dual enrollment college courses

Some states even allow transportation costs (often capped at 25% of funds) and educational extracurriculars. Check your state’s approved vendor list and expense guidelines before buying anything.

How EFA funds are managed

Once you get approved, you can access your EFA through an online portal—often ClassWallet or a similar site. Funds get added quarterly during the school year. Parents can buy from approved vendors and submit receipts for reimbursement, or use a special debit card for direct purchases. Each expense gets checked to make sure it follows the rules. Unused funds usually roll over to the next quarter, and some states allow you to save funds for college expenses.

The bottom line

Education Freedom Accounts are changing how states support education choices. For homeschool families, EFAs can help with costs for curriculum, tutoring, and services that they used to pay for out of pocket. If you live in a state with an EFA program—or one starting soon, like Texas—it's smart to learn about eligible expenses and how to apply. This funding can really enhance your homeschooling experience.

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.

Related articles

What is an education savings account (ESA)?Understanding empowerment scholarship accountsUnderstanding dual credit for homeschoolersUnderstanding extracurricular activities for homeschoolersUnderstanding classwallet for homeschooling families

Table of Contents

  • What is an Education Freedom Account?
  • Eligible expenses for homeschoolers
  • How EFA funds are managed
  • The bottom line
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