Education Savings Account
Tennessee Education Freedom Scholarship Act
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Enacted:2025
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Launched:2025
Program Stats
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100%
Students Eligible -
1%
Funded Eligibility -
20,000
Participating Students (2024-25) -
$7,500
Average Account Value (2024-25) -
63%
Public School Funding -
220
Providers or Schools
Program Summary
For its inaugural year, 2025-2026, half of the available accounts are set aside for families with household incomes 300% of the FPL ($96,450 for a family of four), families who are eligible for the state’s other choice programs, or families with children with a state-recognized disability. The other half are available to all Tennessee families with children who are eligible to enroll in a Tennessee public school. The governing law has an escalator provision, which increases the student cap by 5,000 for each year that more than 75% of the available scholarships are awarded to students. Priority will go to students below an income threshold or with a disability. The maximum individual account value is tied to the state’s base aid formula. For 2025-2026, that value is $7,296. Unspent funds rollover into next year’s account.
Funding Mechanism: A legislative appropriation from the general fund
Honorable Mention Fact: When lawmakers established this program, they made Tennessee the only state in America with three ESA programs.
Universal Eligibility: ✅
Universal Usage: ❌
Universal Funding: ✅
Truly Universal: ❌
(Last updated December 16, 2025)
Use of Funds
All funds must first be used for tuition and fees at a private school. If any funds remain, participants may use those funds on qualifying expenses such as textbooks, curricula, uniforms, tutoring services, transportation, technology and computer hardware, college entrance exams, educational therapy, expenses associated with summer academic programs and afterschool academic programs, early postsecondary opportunity courses, and industry credentials.
(Last updated December 16, 2025)
Program Guidelines
View program requirements for parents, schools, and scholarship granting organizations by clicking on each hyperlink.
(Last updated December 16, 2025)
Governing Statutes
TN Code Ann. 49-6-3501 – 3512
(Last updated February 11, 2025)