This article explains how Texas Education Freedom Account (TEFA) funds are distributed and what families can expect throughout the school year.
Important: TEFA funds are not distributed all at once. Funds are released in installments throughout the school year.
Quick Links
- When Funding Becomes Available
- Funding Installment Schedule
- Before Funds Can Be Released
- Using Your Funds
- Frequently Asked Questions
When Funding Becomes Available
Before TEFA funds can be released:
✓ The student must receive a TEFA award.
✓ The family must complete all required program steps.
✓ Enrollment and eligibility must be verified, if applicable.
Once these requirements are met, funding will be deposited into the student's TEFA account according to the program schedule.
Funding Installment Schedule
For the 2026-27 school year, TEFA funds are expected to be distributed in installments. Current program guidance indicates the following schedule:
| Date | Installment |
|---|---|
| July 1, 2026 | 25% of annual award |
| October 1, 2026 | 25% of annual award |
| April 1, 2027 | Remaining available balance |
Funding schedules are subject to change based on guidance from the Texas Comptroller and TEFA Program requirements.
Before Funds Can Be Released
Families may need to complete certain actions before funding is available.
Examples may include:
• Accepting a TEFA award
• Confirming enrollment selections
• Providing any required documentation
• Completing applicable program requirements
Failure to complete required actions may delay funding.
Using Your Funds
Once funds are available, families may use TEFA funds for approved educational expenses through Odyssey.
Approved expenses may include:
• Private school tuition and fees
• Educational services
• Tutoring
• Curriculum and instructional materials
• Other approved educational expenses
All purchases remain subject to TEFA Program requirements.
Frequently Asked Questions
Will I receive my full award at one time?
No. TEFA funds are distributed in installments throughout the school year.
What happens if I enroll after the school year begins?
Funding may be prorated based on the student's enrollment date and program requirements.
Can funding be delayed?
Yes. Funding may be delayed if required documentation, enrollment verification, or other program requirements have not been completed.
What happens to unused funds?
Unused funds may carry forward in accordance with TEFA Program rules and continued eligibility requirements.