Using ESA funds for back to school: what you can spend on and how to plan

Back to school is the highest-spend period for most ESA families. New curriculum, online classes, tutoring, supplies, and enrichment programs all come due at roughly the same time — and for families managing an education savings account, timing and planning matter more than most people realize.

Whether you're working with a state ESA, an education scholarship account, or a similar program, here's how to approach the fall planning period so your funds go where they'll make the biggest difference.

Understand your program's spending window

This is the most important thing to sort out before you do anything else. ESA programs vary significantly in their spending rules:

• Some programs operate on a fiscal year (often July 1 to June 30) that doesn't align with the traditional academic calendar. If your fiscal year ends June 30, you may lose unused funds if you haven't spent them before summer ends — which makes spring planning critical.
• Some programs have rolling balances that carry over year to year, giving you more flexibility to save for larger purchases.
• Some programs require expenses to be pre-approved before you commit to them. Booking a curriculum package or online class subscription without confirming eligibility first is a common mistake.

Log into your account portal or contact your program administrator to confirm: When does the current period end? Do unused funds carry over? Are there any categories where prior approval is required?

What ESA funds typically cover

Approved expenses vary by state and program, but most ESA programs cover some or all of the following:

Curriculum and instructional materials: Boxed curricula, individual subject workbooks, textbooks, and supplemental materials are approved in most programs. Both physical and digital materials typically qualify as long as they're for educational use.

Online classes and live instruction: This is one of the most flexible categories. Live online classes — including those on Outschool — are approved by most ESA programs for academic subjects. Some programs also approve enrichment classes (art, music, coding, foreign language) under a broader "educational services" category. ESA-eligible classes on Outschool span academic subjects, enrichment, and 1-on-1 tutoring.

Tutoring: Most programs approve licensed or qualified tutors for academic subjects. 1-on-1 tutoring on Outschool is used by ESA families across the country for math, reading, writing, science, and test prep.

Assessments and testing: Standardized tests, skills assessments, and evaluations are often covered.

Educational technology: Computers, tablets, and software for educational use are approved in many programs, though some states cap the amount or require prior approval for devices.

Therapies and specialized services: Speech therapy, occupational therapy, and other educational-related services are approved in programs designed to support students with special needs.

What's typically not covered: General school supplies (pencils, notebooks, backpacks), sports equipment, non-educational toys or games, and general household expenses. Always confirm before purchasing.

Prioritize your spending before fall starts

With a limited allocation and a lot of expenses competing for it, intentional prioritization matters. Here's a useful framework for thinking through your fall spending:

• Tier 1: Non-negotiables. Core curriculum for math and language arts, essential instructional materials, and any therapeutic or specialized services. These come first.
• Tier 2: High-value additions. Online classes or tutoring in subjects where you need outside support. A live class in math or writing from an experienced teacher often provides more value per dollar than a second box curriculum.
• Tier 3: Enrichment and electives. Art, music, coding, foreign language, creative writing — meaningful for your kid's development, but fundable after Tier 1 and 2 are covered.
• Tier 4: Nice-to-haves. Educational games, supplemental resources, technology upgrades. Worth it if funds allow; not worth shortchanging Tier 1 and 2 for.

Plan for the full year, not just fall

One of the most common ESA planning mistakes is spending heavily in August and September and running low in spring. Divide your allocation roughly in half — one portion for fall semester (August through December), the rest for spring. Build in a small contingency, around 10 to 15 percent of your annual allocation, for mid-year needs you couldn't anticipate.

If your program uses a reimbursement model rather than direct-pay, keep receipts meticulously from day one.

How to get more out of your online class budget

For families using ESA funds on classes:

• Book earlier in summer. Many popular Outschool classes fill up before the school year starts. Browsing and booking in June or July gives you the best selection for fall.
• Look for semester-long formats. A weekly class over 16 weeks costs less per session than individual one-time classes and builds the consistency that produces real learning gains.
• Match class format to your kid's needs. Group classes cost less than tutoring and provide peer connection alongside instruction. 1-on-1 tutoring costs more but delivers faster progress on specific skills.
• Check eligibility before booking. Most Outschool classes are ESA-eligible, but confirm with your program administrator if you're unsure.

Back to school is the best time of year to use your ESA funds intentionally — when you have a clear picture of the whole year ahead and the flexibility to plan rather than react. Find your state's ESA program on Outschool to see which classes and tutoring options qualify. Your allocation will go further than you think if you plan it right.