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Homeschool funding guide for Illinois families

Explore funding options for Illinois homeschoolers, including ESAs, 529 plans, and community support.
Lisa Thorsen
Written byLisa Thorsen
5 min read
Key takeaways
  • Illinois currently does not provide state funding for homeschooling, but families can explore federal options like Coverdell ESAs, which offer $2,000 annually, and the Illinois 529 Plan, allowing significant tax deductions
  • A proposed bill, HB 2822, could introduce income-based funding for homeschoolers, though its passage remains uncertain.

Homeschooling in Illinois offers great educational freedom but lacks state funding options. While there's no current funding, a new proposed bill could change that. Families can also benefit from federal programs and community resources.

With approximately 65,000 homeschooled students, Illinois has a significant homeschool community that benefits from understanding available funding options (NCES estimates, 2023). 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).

Can I get paid to homeschool in Illinois?

Illinois doesn't currently provide state-funded payments for homeschooling, ESAs, or vouchers. There’s a bill, HB 2822, being discussed that might create an income-based ESA program. For now, you can look into federal Coverdell ESAs, which offer $2,000 per year, and Illinois's 529 plan.

What funding is available for Illinois homeschoolers?

There aren't any state funds available for homeschool families in Illinois. The state's politics and strong union presence have typically resisted school choice. But it’s not completely closed off. The Tax Credit Scholarship Program gives scholarships for private school tuition through tax-credit organizations, but it doesn’t help with homeschooling.

Pending legislation: Hb 2822

House Bill 2822 is the biggest school choice proposal for Illinois homeschoolers in years:

  • What it proposes: An ESA program for families earning up to 2.5 times the free lunch threshold—about $148,700 for a family of four.
  • Coverage: This would include homeschool families, not just those in private schools.
  • Status: It’s been introduced but not passed yet. There’s strong opposition from education groups.
  • Likelihood: The chances are low to moderate. Illinois's political scene makes it tough, but compared to past years, this bill shows real progress. If it passes, it could mean more funding for qualifying families. Keep in touch with advocacy groups for updates.

Illinois homeschool freedom

Even without funding, Illinois offers amazing freedom for homeschoolers. The state has very few regulations:

  • No notification to the government is required.
  • You don’t need curriculum approval or reviews.
  • There are no testing or assessment requirements.
  • No teacher qualifications needed.
  • No record-keeping is mandated. You just need to teach subjects like English, math, science, social studies, arts, and health. How you teach is completely up to you. This freedom lets families have full control over their educational choices.

Federal and alternative funding options

Here are some options for Illinois homeschool families:

  • Illinois 529 Plan:
    • Generous tax deduction: You can deduct up to $10,000 per person ($20,000 for couples) from state taxable income.
    • K-12 use: Federal law allows you to use up to $10,000 per year from 529 plans for private school tuition, but homeschool eligibility varies by how it’s interpreted.
    • No income limits: Unlike Coverdell ESAs, 529 contributions have no income restrictions.
    • Rollover options: If your child doesn’t use all the funds, you can transfer them to other family members. Even without ESA funding, using Illinois's 529 tax benefits can really help with education costs.

Illinois homeschool community resources

Illinois boasts one of the largest homeschool communities in the U.S. Here’s how you can tap into it:

  • Illinois Christian Home Educators (ICHE): This statewide group offers support, events, and tracks legislation.
  • Regional co-ops: There are many active co-ops, especially in the Chicago suburbs, offering classes in various subjects.
  • Support groups: Local groups across the state provide community and resources.
  • Curriculum fairs: Annual events in Chicago let you explore and purchase curriculum materials in person.

The bottom line

Right now, Illinois doesn’t fund homeschooling. However, the new HB 2822 bill could change that by introducing an income-based ESA for homeschool families. It’s worth keeping an eye on, even if it’s uncertain if it will pass. For now, Illinois provides valuable educational freedom without government oversight. Combined with the generous 529 tax deduction and federal Coverdell ESAs, many families can find ways to homeschool affordably. Plus, the strong Illinois homeschool community offers support through co-ops and shared resources—sometimes community support is just as important as funding.

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

Homeschooling in Illinois: Your complete guideHomeschooling in IllinoisUnderstanding tax credit scholarshipsUnderstanding educational freedomUnderstanding the 529 plan for homeschooling families

Table of Contents

  • Can I get paid to homeschool in Illinois?
  • What funding is available for Illinois homeschoolers?
  • Pending legislation: Hb 2822
  • Illinois homeschool freedom
  • Federal and alternative funding options
  • Illinois homeschool community resources
  • The bottom line
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