How To Apply for an Education Savings Account: A Simple Guide For Families

Education Savings Accounts (ESAs) put the power of personalized learning in your hands. An ESA program provides public funds for families to support their children’s education outside the traditional public school system. These innovative funding tools open up possibilities, from engaging online classes and expert tutoring to enrichment programs that spark curiosity and foster growth, depending on state guidelines and ESA type.

Families use ESA funds to support their child’s learning journey in many ways. ESA funds can pay for private school, homeschool curriculum, tutors, or educational supplies, depending on your state. Some programs also cover special education services, online classes, and enrichment like music or art. At Outschool, you can use ESA funds to explore engaging, teacher-led courses tailored to your child’s needs.

Benefits of education savings accounts

ESAs give parents the freedom to choose the education that works best for their child. Instead of being limited to one public school option, families can explore private schools, homeschooling, or a mix, depending on what their state allows.. You can find the right fit based on your child’s learning style and interests. It’s about putting you in the driver’s seat of your child’s education.

Every child learns differently, and ESAs make it easier to customize education to match their needs. You may be able to use the funds for tutors, online classes, or hands-on resources that support your child’s strengths and address any challenges. Whether your child needs more structure or creativity, you can build a plan that fits them. ESAs make it possible to move at your child’s pace and keep learning fun and meaningful.

ESAs aren’t just for traditional academics; depending on the state you’re in, they may also support therapies, extracurriculars, and special education services. This means your child can grow not just in math or reading, but also in confidence, communication, and social skills. You may be able to use ESA funds for music lessons, speech therapy, or even field trips that make learning come alive. ESA’s can provide a whole-child approach that helps your child thrive in and out of the classroom.

How to apply for an education savings account: Step-by-step guide

Getting started with an ESA can feel like a big step, but it's manageable with some planning. It helps to know what to expect and give yourself time to move through each part of the process. From checking your state’s rules to picking the right educational options, each step helps set up a smooth school year. 

1. Check if your state offers an ESA program - Browse your state’s ESA program options to see what’s available where you live; 18 states currently offer them, each with its own guidelines. If your state offers a program, you can check the eligibility criteria. Factors like household income or your child’s specific learning needs might qualify your family for support. Hot Tip: Start your ESA journey early - Kick off the process 3–4 months before you plan to use the funds. Summer’s a great time to get everything in place for the upcoming school year. 
2. Prepare your family's paperwork -  Gather the paperwork you’ll need to apply. This often includes proof of residency (like a utility bill), your child’s birth certificate or age verification, and any additional documents like an IEP or learning support plan. Having these ready to go can help you move through the application faster and avoid delays. Check your state’s program website for a list of required documents.
3. Complete the application - Fill out and submit your state’s official ESA application. Some programs have specific enrollment windows or deadlines, so it helps to apply early and watch for important dates.
4. Wait for approval and set up your ESA account - Once approved, your state will provide access to your ESA account or prepaid debit card. This is where your funds will be managed for eligible educational expenses.
5. Customize your education plan - Once your child’s ESA is ready to use, begin exploring educational platforms, curriculum providers, tutors, and enrichment opportunities that align with your child’s unique learning style and goals. Be sure to check your state’s ESA documentation for a list of eligible expenses and approved vendors before making any purchases.

With just a bit of preparation, your family can make the most of everything an ESA offers. Taking it step by step, from understanding the rules to choosing learning tools, can help you feel confident and ready. The earlier you begin, the more time you’ll have to explore options that fit your child’s needs. To stay informed and get support, consider joining one of our state-specific public funding groups on Facebook where you can connect with other families, discover class suggestions, and learn more about the rules in your state.

Tips for managing your ESA

Managing your ESA doesn’t have to feel overwhelming; it’s all about finding a rhythm that works for your family. Small steps can make a big difference, whether you're just getting started or looking to fine-tune your approach. Here are a few parent-friendly tips to help you along the way.

• Keep track of your spending - Try holding onto receipts and invoices for anything you use ESA funds for. It can make things easier if you need to show what you’ve spent or live in a state that has a reimbursement program.

• Know what’s covered - It helps to review your state’s list of approved expenses, so you can feel more confident using funds for things like curriculum, tutors, or therapies.

• Plan ahead - You might find sketching out a simple budget at the start of the year, based on your child’s learning goals and interests, is helpful.

• Stay on top of deadlines - Jot down important dates, such as renewals, funding drops, spending deadlines, or reports, to prevent last-minute stress. 
• Think beyond the basics - ESA funds may be able to be spent on enrichment activities, like music lessons, STEM kits, or social skills groups, so consider what helps your child grow under what your program allows.
• Evaluate and adjust - Halfway through the year, reflect on what’s working and what’s not. You can constantly shift your spending to better match your child’s evolving needs.

With some intention and flexibility, managing your ESA can feel less like a chore and more like a tool that empowers your family’s educational journey. These small habits can help you stay organized and make thoughtful choices throughout the year. Remember, there’s no one “right” way to use your ESA funds; just the way that best supports your child. 

Helpful resources for getting started 

ESA programs vary across the U.S. Each state sets rules for who qualifies and how the funds can be spent. Some states offer broad access to ESAs, while others limit eligibility to students with special needs or those leaving public school. The type of educational expenses you can cover also depends on where you live. Here are a few examples of ESA programs across different states:

• Florida - The Family Empowerment Scholarship for students with unique abilities is just one of several scholarships offered in Florida to support diverse learning needs..

• North Carolina - Features the Personal Education Student Accounts for children with disabilities. 

• Indiana - Offers the ESA program for eligible students with disabilities. 

• Mississippi - Has the Equal Opportunity for Students With Special Needs program. 

Connecting with other families can provide valuable insights and support. Here are some organizations and platforms where you can find ESA-related communities:

• Facebook groups - Search for state-specific ESA groups to connect with local families and share experiences.

• Local parent support groups - Many communities have groups that meet in person or virtually to discuss ESA navigation and homeschooling strategies.

ESA programs look different in each state, with varying rules about who qualifies and how the funds can be spent. Some offer broad access, while others focus on specific student needs. Along the way, connecting with other families through support groups or online communities can encourage practical advice to support your ESA journey.

What ESA means for your homeschooling journey

Empowerment Scholarship Accounts (ESAs) open up many opportunities, and it's normal to have questions when you're just starting. Learning the basics builds confidence as to whether your family qualifies, how to use the funds, and what to expect. Since every state runs its ESA program differently, take time to understand the rules that apply to you. Getting clear on the details now helps you make the most of the program later.

What learning experiences can ESA funds cover?

ESA funds can support various learning experiences, allowing families to tailor education to their child’s needs and interests. The exact options depend on your state’s specific program rules, so checking the official list of approved expenses is always a good idea. That said, here are some common examples of what ESA funds may cover:

• Private school tuition
• Homeschool curriculum and supplies
• Online classes or virtual learning programs
• Educational therapy or special education services
• Tutoring in core subjects or enrichment areas
• Music, art, or language lessons
• STEM kits, hands-on learning tools, and manipulatives
• Educational field trips or co-op classes

Every state has different guidelines, so review your program's details to see which experiences are eligible in your area.

Can my family apply for an ESA?

Whether your family can apply for an ESA or not depends on the rules set by your state’s program. Each state has different eligibility requirements, which can vary based on factors like school enrollment status, special education needs, or prior attendance at a public school. In general, here are a few standard guidelines you might see (though they vary by location):

• Your child may need to have previously attended a public or charter school for a certain amount of time.
• Some states have specific ESA access for students with special needs, military families, or those in underperforming school districts.
• You may need to submit an application and agree not to enroll your child full-time in a public or charter school while using ESA funds.

You should check your state’s Department of Education or ESA program website for the most up-to-date eligibility criteria and application process.

What happens if we don't use the funds for education?

ESA funds are strictly for approved educational expenses, and most programs don’t give the money directly to parents. Instead, funds are managed through a state-approved program administrator that pays vendors like schools or curriculum providers. Misusing funds can lead to penalties or removal from the program. To stay safe, review your program’s guidelines and ask questions before purchasing to stay on track.

How does an ESA affect college financial aid?

Using ESA funds during K–12 typically doesn’t affect your child’s future financial aid. If you save the funds and use them in college, some schools may count them as part of your available resources. It’s good to check with the college’s financial aid office to see how they handle ESA funds.

What’s the difference between an ESA and a 529 plan? 

ESAs are typically used for current K–12 education expenses, while 529 plans are most often used to save for college or post-secondary costs. 529 plans can also be used for K-12 private school tuition, up to $10k. ESAs give you immediate flexibility, while 529s are better for long-term savings. Another key difference is that ESAs are public funds the state provides, while you or other family members fund 529 plans. Depending on their goals and financial planning, some families choose to use both.

Empower your child's learning journey with Outschool and ESAs

Educational Savings Accounts give families more than financial help; they offer the freedom to shape a child’s education. By learning your state’s rules and planning ahead, you can confidently use your ESA. Whether homeschooling or adding enrichment, ESAs open the door to personalized learning. With the right tools, you can create an experience that supports your child’s growth in meaningful ways.

As you explore ESA options, you’ll find many ways to keep learning fun and flexible, but rules vary by state. Some allow things like STEM kits, therapies, and online classes, while others are more limited. Check your state’s guidelines to see what’s covered and build a path that fits your child. At Outschool, you can use your ESA funds to discover thousands of live, teacher-led classes that bring learning to life.