Approved for TEFA? Here's what to do next

Texas families are now beginning to receive Texas Education Freedom Account (TEFA) approval notifications. Initial approval emails began rolling out in April 2026, with additional notifications continuing in the weeks that follow.

If your family was approved and you’re now wondering, “What happens next?” - you’re not alone. 

This article walks through the next steps for setting up your Odyssey account, understanding when your TEFA funds become available, exploring approved providers, and preparing to use your TEFA funds with confidence before July.

Understanding Your TEFA Award

Your notification email or Odyssey account will show whether your child has been approved for TEFA funding and the amount awarded for each of your students.

Funding amounts will include one of the following:

1) Up to $10,474 for students attending an approved private school or qualifying early childhood program

2) Up to $30,000 for students with disabilities who have an active IEP through their local school district

3) Up to $2,000 for students who are homeschooled (or who are not enrolled full-time in an approved private school)

If your funding amount or eligibility details seem unclear, log into your Odyssey account to review your information. 

If your child’s IEP status, school enrollment, or other eligibility details changed after you applied, contact the TEFA program directly for support.

Once you’ve reviewed your child’s award amount and eligibility details, it’s time to start preparing for the next phase: setting up your account, planning your educational expenses, and understanding how TEFA funding will work throughout the school year.

Step 1: Review Your Odyssey Account Information

Log into your Odyssey account to make sure your child’s information, funding amount, and communication preferences are all correct. 

This is also a good time to check for any outstanding document requests or account notifications. If something looks incorrect, try to address it as soon as possible, since resolving issues can take time.

Step 2: Understanding When TEFA Funds Become Available

When will TEFA funds actually show up? Source: Texas Education Freedom Accounts, "Funding Timelines and Installments", Texas Comptroller of Public Accounts

It depends on which track you're on.

Private school families get their award in three installments instead of one lump sum. The first check covers 25% of the total award. If your child's school confirmed enrollment by June 15, that first installment landed July 1. Confirm by July 31 instead, and it shows up by mid-August. Coming off the waitlist after that? Funds arrive as soon as they can be processed. After that first installment, two more come automatically: another 25% on October 1, then the final half on February 1, 2027. The one thing to keep in mind: your child has to stay enrolled in a participating private school the whole time, or those later installments stop.

Homeschool and "other" track families are simpler: the full $2,000 arrives all at once, no installments. Same deadlines apply though, opt in by June 15 and it lands July 1; opt in by July 31 and it lands by mid-August. Waitlist families get theirs as soon as it's ready, same as the private school track. The one thing that can end your eligibility here: if your child ends up enrolled in a public or charter school during the year, you're out of the program.

Joined late? Here's the fine print on proration. If you come off the waitlist and confirm after July 15, your award might be prorated based on your confirmation date, not the full amount. To guarantee you get 100% of your award regardless of track, you need to confirm by September 15, whether that means your private school confirming your enrollment or you personally opting in as a homeschool family.

Step 3: Plan How You’ll Use Your TEFA Funds

Before July, start thinking through how you’d like to use your TEFA funds on the following approved educational expenses: 

  • tuition and fees at approved private schools
  • online educational courses and programs
  • textbooks and instructional materials
  • private tutoring
  • computer hardware and software (up to 10% of annual deposit)
  • academic assessments
  • transportation to/from school or approved educational therapies
  • educational therapies not covered by other government benefits
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Step 4: How to Use TEFA Funds With Approved Providers

Once your approved TEFA funds are deposited into your Odyssey account in July, you’ll be able to use them to purchase approved educational expenses through the Odyssey marketplace. The next steps may look a little different depending on how your family plans to use TEFA funds.

1) For private school families:

Contact your school’s admissions or finance office to confirm how they process TEFA funds and whether they are already approved through Odyssey. Should you need additional support, Families Empowered (https://familiesempoweredtx.org) offers free, one-on-one guidance in both English and Spanish for families in Austin, Houston, San Antonio, and Tarrant County.

2) For educational therapy services:

If you plan to use TEFA funds for educational therapy or specialized support services, your provider will need to be approved through Odyssey first. Check to make sure your provider has already been approved through Odyssey before planning to use TEFA funds with them.

3) For homeschool families:

Homeschool families can browse the Odyssey marketplace for approved educational expenses such as online courses and programs, curriculum and instructional materials, private tutoring, computer hardware and software, academic assessments, and other eligible learning resources. To use TEFA funds for these approved educational expenses, purchases must be made through your Odyssey wallet.

Outschool is an approved TEFA provider for online learning and enrichment, and families can browse available classes.

To use TEFA funds for Outschool classes, log into your Odyssey wallet, search for “Outschool,” select the amount you’d like to transfer, and the funds will typically appear in your Outschool account within one business day. From there, you can complete your student’s enrollment.

Step 5: Keep Track of Your TEFA Spending

TEFA accounts may be subject to audit, so it’s important to keep track of your purchases and save your Odyssey purchase confirmations. 

A simple spending log can help you stay organized by recording the date, provider, expense category, amount, and educational purpose of each purchase.

Your system doesn’t have to be complicated: you can use a spreadsheet, keep handwritten notes in a notebook, or even track purchases in the notes app on your phone. The key is to use something that feels easy for you to keep up with consistently.

What to Do If You Didn’t Receive TEFA Funding This School Year

1) If your application was found ineligible:

Some applications were found ineligible due to missing documentation or eligibility requirements. If you believe your child met all requirements but you still did not receive funding, you may be able to file an appeal within 30 days of your notification. All appeal decisions are final.

2) If you weren’t approved for TEFA funding this school year:

There are still a few options available in the meantime:

  • Families with students who have an IEP in public school may also qualify for the Texas SSES Grant Program (https://sses.tea.texas.gov)
  • Sign up for the 2027–28 TEFA interest list at https://educationfreedom.texas.gov. Families with one child already approved for TEFA funding may also receive sibling priority in future application cycles.

Finally, if you plan to pay out of pocket for educational expenses this school year, Outschool offers a wide range of online classes and enrichment options at different price points for families.

Questions families are asking right now

1) Can I transition from public school to homeschooling if I receive TEFA funding?

Yes. Families approved for TEFA funding may transition from public school to homeschooling. However, re-enrolling your child in a Texas public or charter school after accepting TEFA funds will end your eligibility for the program.

2) When will TEFA funds be added to my account?

TEFA funds are deposited into Odyssey in phases throughout the school year, rather than all at once. Refer to the funding timeline above for details on when approved funds become available.

3) What happens if I don’t use all of my TEFA funds this year?

Unused TEFA funds roll over into future years as long as your child remains in the program.

4) What happens if my provider isn’t TEFA approved yet?

TEFA funds can only be used with providers that have been approved through Odyssey and listed in the provider marketplace. If your preferred provider has applied but has not yet been approved, you’ll need to wait until their approval is finalized before using your TEFA funds with them.

5) Can I use TEFA funds for Outschool classes?

Yes. Outschool is an approved TEFA provider for online learning and enrichment. See the approved providers section above for step-by-step instructions on how to enroll.

This article is for informational purposes only and isn't legal or financial advice. For the most current program details, always refer to the official TEFA website at educationfreedom.texas.gov.

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