Tennessee EFS at a glance
Tennessee's Education Freedom Scholarship launched in 2025-26 with 20,000 seats. For 2026-27, lawmakers added 15,000 more, and the governor signed the expansion on May 7, 2026. Demand still outran supply: 56,440 applications for 35,000 seats.
| Question | Answer (as of October 2026) |
|---|
| Award | $7,530 per student for 2026-27 |
| Seats | 35,000, all reserved; 17,735 on the waitlist |
| Who qualifies | Any TN student eligible for public school, enrolling at a registered private school |
| Priority | Renewals, then lower-income and IEA/ESA-eligible students |
| Platform | EFS online portal and Marketplace |
| Run by | Tennessee Department of Education |
Who qualifies for the Tennessee Education Freedom Scholarship
Eligibility is universal on paper: any Tennessee resident entitled to attend a public school in grades K-12 can apply. To receive funds, the student must enroll in an EFS-registered Category I, II or III non-public school in Tennessee. Nearly 300 schools were registered for 2026-27.
Because seats are capped, priority decides who gets one. The Department reviews applications by group and, within each group, by the order received:
| Priority | Who | 2026-27 seats |
|---|
| 1 | Renewing EFS recipients | 18,553 |
| 2 | Income up to 100% of free and reduced-price lunch, SNAP or TANF, or eligible for the IEA or ESA programs | 3,970 |
| 3 | Income up to 300% of free and reduced-price lunch | 9,360 |
| 4 | Enrolled in a Tennessee public school, or entering kindergarten | 3,117 |
| 5 | Chose not to show eligibility for another priority | 0 |
The takeaway: if your family fits Priority 2 or 3, answer the optional income questions. Families who skip them land in Priority 5, which received no seats in 2026-27. For 2026-27, 81% of new scholarships went to applicants who qualified on income or IEA/ESA eligibility.
How much is the EFS?
The award is tied to the state's base funding formula: $7,530 for 2026-27, up from about $7,296 in 2025-26. Money sits in an online account, never in a parent's bank account, and arrives quarterly. Schools are paid first: the law requires funds to go to tuition and fees before anything else. Leftover money carries over to the next year's account, according to EdChoice.
How to apply for EFS in Tennessee
- Watch for the 2027-28 window. The Department hasn't announced dates. Sign up for updates on the EFS page.
- Pick a registered school. Check the EFS-registered schools list before you apply.
- Prepare documents: two approved proofs of Tennessee residency (two parents can each supply one) and proof of age.
- Apply early in the EFS portal. Within each priority group, earlier applications are processed first.
- Claim your priority by answering the income, IEA/ESA or public school questions with documentation.
- Verify enrollment at your school by the deadline (June 30 in 2026), or the seat may go to the waitlist.
The EFS portal and Marketplace
Every EFS transaction runs through the online portal. The portal pays your school's tuition and fees. After that, families with a remaining balance buy approved items in the EFS Marketplace, projected to open October 19, 2026 for students with no pending tuition. Technology purchases must go through the Marketplace, with a limit of one device per student per year, and families confirm delivery of technology and uniforms in the portal.
What you can buy with leftover EFS funds
For many families, tuition uses most or all of the $7,530. When money remains, the approved categories include:
Free resources like Khan Academy cost nothing, which can stretch a small balance. Save your shortlist to your Edulist wishlist so you are ready when the Marketplace opens.
Homeschoolers and the EFS
The EFS is a private school scholarship, not a homeschool program. A homeschooled child can apply, but must enroll in an EFS-registered Category I, II or III non-public school to receive funds. Families who homeschool independently, or through a school outside those three categories, can't use EFS money for home education. See our Tennessee homeschool guide for the homeschool options.
Testing and accountability
Students in grades 3 through 11 must take the TCAP in math and English language arts or a nationally standardized achievement test aligned with their school's program, every year in the program. Schools report scholarship students' results to the state's Office of Research and Education Accountability (OREA), which publishes the reporting form.
Federal scholarship tax credit in Tennessee
Tennessee has opted in to the federal scholarship tax credit, according to the IRS's June 2026 list. From 2027, SGOs on Tennessee's list can award scholarships funded by donors who claim up to $1,700 in federal credits. That could help waitlisted families or cover costs beyond EFS. Treasury's rules are proposed, not final. See how the federal credit works.