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Funding guide for homeschooling in Indiana

Explore funding options for homeschooling in Indiana, including federal programs and more.
Lisa Thorsen
Written byLisa Thorsen
5 min read
Key takeaways
  • Homeschooling in Indiana does not receive state funding, but families can explore federal options like the Coverdell ESA, which allows for tax-free savings of up to $2,000 per child annually for educational expenses
  • Additionally, the Indiana 529 plan offers state tax deductions for contributions, although it primarily supports private school tuition.

Homeschooling in Indiana is flexible with minimal regulations. However, the state doesn't provide funding for homeschooling, focusing instead on private school vouchers. Federal options are available for families looking for financial support.

With approximately 35,000 homeschooled students, Indiana 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 Indiana?

No, you can't get paid to homeschool in Indiana. The Choice Scholarship Program gives around $6,264, but it's only for private school tuition. Homeschoolers don’t get state funding. You can look into federal options like Coverdell ESAs, which offer $2,000 a year for all families.

What funding exists in Indiana?

Indiana's Choice Scholarship Program, started in 2011, is a well-known school choice program. It gives about $6,264 per student for private school tuition. But here's the catch: you can't use this money for homeschooling expenses like curriculum or tutoring. Starting in the 2026-27 school year, anyone can access private school vouchers, but it won’t include homeschoolers.

Why homeschool is excluded

The voucher program was made just for private school tuition, not for homeschooling. This makes a difference. Voucher programs use public money for tuition at approved private schools that follow state rules. On the other hand, ESA programs let families use money for different education costs, including homeschooling. Indiana picked the voucher model, which only works for schools, not for homeschoolers.

Alternative funding options

Since Indiana doesn’t support homeschooling with state funds, here are some federal options you can consider:

Federal funding options

  • Coverdell ESA: You can save up to $2,000 a year per child, tax-free. This covers many expenses like curriculum and tutoring.
  • 529 Plan: Indiana's plan gives state tax deductions on contributions. It can also cover up to $10,000 a year for K-12 expenses, though it’s mainly for private schools.
  • Employer Benefits: Some jobs offer education assistance for dependents. Check your benefits.

Coverdell ESA details

The Coverdell ESA is a great way to get federal funding for homeschooling in Indiana:

  • Contribution Limits: You can put in $2,000 per child each year.
  • Tax Benefits: While contributions aren't deductible, the growth is tax-free.
  • Eligible Expenses: This can be used for various education costs like curriculum, tutoring, and tech.
  • Income Limits: The ability to contribute starts to decrease at $95,000 for singles and $190,000 for married couples.
  • Age Limits: Contributions need to be made before the child turns 18, and funds must be used by age 30. While $2,000 isn’t a lot compared to state ESAs, it’s reliable and tax-advantaged.

Indiana 529 plan

Indiana has the CollegeChoice 529 plan, which offers state tax benefits:

  • State Tax Deduction: You can deduct contributions from your state taxable income.
  • K-12 Usage: You can use up to $10,000 a year for K-12 tuition, mostly for private schools. Homeschool rules are stricter.
  • College Savings: The plan is mainly for college savings, which is where it shines. It’s better for future education than immediate K-12 costs.

Indiana homeschool requirements

Indiana is very friendly for homeschoolers:

  • No Registration Required: You don’t have to notify the state.
  • No Teacher Qualifications: Parents don’t need teaching credentials.
  • No Testing Required: There are no mandatory tests for homeschoolers.
  • Required Instruction: You have to teach subjects similar to public schools for an equal number of days. Indiana trusts parents to educate their kids, but this freedom doesn’t come with funding.

Looking ahead

Will Indiana ever have homeschool funding? It’s possible:

  • School Choice Momentum: Indiana is supportive of school choice, shown by the universal eligibility for vouchers starting in 2026-27.
  • ESA Trend: More states are adopting ESA models that include homeschool, which puts pressure on Indiana to follow.
  • Current Barriers: Changing from a voucher program to an ESA will need a lot of legislative changes, but nothing has advanced yet.
  • Advocacy Needed: If you want funding for homeschooling, connect with Indiana school choice groups and your lawmakers. They need to hear from you.

For now, focus on what you can use: no state funding, but solid federal options and a relaxed homeschooling environment.

The bottom line

Indiana's Choice Scholarship Program helps private school families but doesn't support homeschoolers. This shows the program's focus rather than a way forward for funding. For now, Indiana homeschoolers should make the most of federal options like Coverdell ESAs and the 529 plan. While the support is modest, it is real. Indiana offers a low-regulation homeschooling environment, which gives freedom but no funding. Whether that changes depends on future laws.

Ready to simplify your homeschool?

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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 Indiana: What you need to knowHomeschooling in IndianaUnderstanding relaxed homeschoolingUnderstanding coverdell ESA for homeschoolingUnderstanding the 529 plan for homeschooling families

Table of Contents

  • Can I get paid to homeschool in Indiana?
  • What funding exists in Indiana?
  • Why homeschool is excluded
  • Alternative funding options
  • Federal funding options
  • Coverdell ESA details
  • Indiana 529 plan
  • Indiana homeschool requirements
  • Looking ahead
  • The bottom line
  • Ready to simplify your homeschool?
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