School choice in the United States

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Last updated: May 16, 2024

Primary and secondary education—kindergarten through grade 12—in the United States includes both public and private schools. Some states have implemented policies that provide families with taxpayer funding for private education or homeschooling.[1]

This page provides data on three such policies—education savings accounts (ESA), school vouchers, and education tax credit scholarships. Click here for definitions.

Supporters of these policies have generally referred to them as school choice.[2] According to University of Southern California Professor Guilbert Hentschke, school choice "has become a catch-all label describing many different programs that offer students and their families alternatives to publicly provided schools in which students are, for the most part, assigned based on the location of their residence."[3] Wisconsin became the first state to pass a law creating a school choice program, in 1989. The Milwaukee Parental Choice Program gave eligible students in Milwaukee funding to attend private schools in the city.[4]

In 2023, five states enacted new ESA programs, and four of those programs covered all or most K-12 students. In 2022, two states expanded their programs to cover all or most students. Click here to read about these changes.

HIGHLIGHTS
  • Sixteen states had enacted ESA programs. Programs in seven states—Florida, Iowa, Utah, West Virginia, Arizona, and Arkansas, and North Carolina—covered all or most students.
  • Twenty states had implemented voucher programs.
  • Twenty-five states had enacted tax-credit programs. Twenty-three states had enacted tax-credit scholarship programs allowing individuals or businesses to write off contributions to scholarship programs that could be used for educational expenses outside the public school system. Eleven states had implemented policies allowing individuals to write off or deduct educational expenses from their personal taxes.
  • Other types of school choice include charter schools, magnet schools, and public school open-enrollment. This page does not cover those policies.

    See the sections below for information on K-12 school choice policies:

    2024 news[edit]

    • April 23, 2024: Georgia Gov. Brian Kemp (R) signed SB 233, creating the Georgia Promise Scholarship. The Georgia Promise Scholarship provided students zoned for the lowest-performing 25% of districts with $6,500 for private school tuition, tutoring services, and other expenses. The program prioritized students from families earning less than 400% of the federal poverty limit. The program was scheduled to go into effect in 2025.[5]
    • March 21, 2024: Wyoming Gov. Mark Gordon (R) signed HB 166. The bill created an ESA program to provide $6,000 to students from families making less than 150% of the federal poverty limit. The bill originally allowed families making more than 150% of the federal poverty limit to apply for the program, but Gordon vetoed that provision.[6]
    • March 7, 2024: Alabama Gov. Kay Ivey (R) signed the CHOOSE Act, creating an ESA program. The program was set to accept students in the 2025-2026 school year.[7][8]

    Terminology and definitions[edit]

    This page covers the following policies:

    • ESA programs give eligible students access to government-managed accounts with taxpayer money they can spend on a range of approved educational alternatives, such as private school tuition, tutoring services, and homeschooling supplies.[9]
    • Voucher programs pay for eligible students to attend private schools, though the money typically goes directly from the government to the school.[10]
    • Tax-credit scholarships come in a variety of forms, though they typically allow individuals and businesses to lower their tax burden by donating to scholarships that can be used at private schools.[11]

    ESAs[edit]

    Education Savings Accounts (ESAs) allow families to receive a deposit of public funds into government-authorized private savings accounts for use on approved educational expenses.[12] States set different rules for what counts as an approved educational expense, but in general, families can put ESA money toward private school tuition, tutoring, curriculum, and school supplies.[13]

    ESA programs can be limited to a particular set of students, such as students with special needs or those from low-income families, or open to all—or most—children in a state. Students are generally ineligible to access ESA funds if they are enrolled in a public school.


    ESA programs by state[edit]

    States with ESA programs
    State Program scope Program name Year enacted
    Alabama Limited The CHOOSE Act program 2024[14]
    Arizona Universal Empowerment Scholarship Accounts 2011
    Arkansas Universal Arkansas Children’s Educational Freedom Account Program 2023
    Florida Universal Family Empowerment Scholarship for Educational Options Program 2019
    Florida Limited Family Empowerment Scholarship for Students with Unique Abilities 2014
    Georgia Limited Georgia Promise Scholarship 2024[15]
    Indiana Limited Education Scholarship Account Program 2021
    Iowa Universal Education Savings Account Program 2023
    Mississippi Limited Equal Opportunity for Students with Special Needs Program 2015
    Montana Limited Montana Special Needs Equal Opportunity Education Savings Account Program 2023
    New Hampshire Limited Education Freedom Account Program 2021
    North Carolina Universal Education Student Accounts (ESA+) 2021
    South Carolina Limited South Carolina Education Scholarship Trust Fund Program 2023
    Tennessee Limited Education Savings Account Pilot Program 2019
    Tennessee Limited Individualized Education Account Program 2015
    Utah Universal Utah Fits All Scholarship Program 2023
    West Virginia Universal Hope Scholarship Program 2021
    Wyoming Limited Education Savings Account Program 2024[16]

    Sources: EdChoice, "School Choice in America Dashboard," accessed September 5, 2023
    Education Next, "As Many More States Enact Education Savings Accounts, Implementation Challenges Abound," August 1, 2023


    ESA legislation in 2022 and 2023[edit]

    In 2023, five states created new ESA programs to provide students with taxpayer funding for K-12 private education expenses. Trifecta status reflects partisan control of state government at the time ESA program was expanded or created.

    • Arkansas (Republican trifecta): Gov. Sarah Huckabee Sanders (R) signed the Arkansas LEARNS Act on March 9, creating, among other things, Education Freedom Accounts. The accounts provide eligible students with around $6,600 for eligible expenses. In the 2025-26 school year, eligibility will expand to include all students.[17][18][19] 
    • Utah (Republican trifecta): Gov. Spencer Cox (R) signed HB 215 in January, creating, among other things, the Utah Fits All Scholarship. All students are eligible for the accounts, which will receive about $8,000 for approved educational expenses per year.[20][21]
    • Iowa (Republican trifecta): Gov. Kim Reynolds (R) in January signed a bill creating the Education Savings Account program. All students are eligible for the program, which provides about $7,500 for approved educational expenses.[22]
    • Montana (Republican trifecta): Gov. Greg Gianforte (R) signed House Bill 393 on May 18, creating the Special Needs Equal Opportunity Education Savings Account Program. The program is limited to students with special needs.[23]
    • South Carolina (Republican trifecta): Gov. Henry McMaster (R) signed the Education Scholarship Trust Fund Act into law May 5. The program provides up to $6,000 for approved educational expenses to students from low-income households.[24]

    Two states expanded existing ESA programs to cover all or most students in 2023.

    • Florida (Republican trifecta): On March 27, Gov. Ron DeSantis (R) expanded the state’s Family Empowerment Scholarship program to provide all K-12 students with around $7,500 for educational expenses. The program was initially launched in 2019 but was restricted to a subset of students. 
    • North Carolina (divided government): On Sept. 22, Gov. Roy Cooper (D) allowed the state’s $30 billion budget to become law without his signature. Included in the budget was an expansion of the state’s Opportunity Scholarship program, providing taxpayer funding for eligible students to use at participating private schools.[25] The General Assembly enacted the program in 2013 but limited the tuition assistance to students from low-income families who had previously attended a public school for at least a year. North Carolina has a divided government and is one of 29 states where one party holds a veto-proof majority in both legislative chambers. Republicans have a 30-20 majority in the Senate and a 72-48 majority in the House.

    In July 2022, Arizona expanded its 2011 program to cover all students. A few months later, in October, the West Virginia Supreme Court allowed West Virginia's ESA program, first enacted in 2021 and set to cover over 90% of students, to go into effect.

    History of ESA legislation[edit]

    Between 2011 and 2023, 13 states enacted 15 ESA programs. The Nevada State Legislature passed a bill establishing an ESA program in 2015 that would have covered nearly all students but the state supreme court ruled against the program’s funding mechanism in 2016, leaving it inoperable. 

    Vouchers[edit]

    School vouchers, also known as opportunity scholarships, are government-funded scholarships that allow public school students to attend private schools. Vouchers redirect the state per-pupil education funding, giving it directly to individual families instead of school districts. Unlike ESAs, which can be spent on a variety of educational expenses, vouchers are typically earmarked exclusively for private school tuition, and may be restricted to low-income or special needs students.[26]


    K-12 school voucher programs by state[edit]

    States with K-12 school voucher programs
    State Program name Year enacted
    Georgia Georgia Special Needs Scholarship Program 2007
    Indiana Choice Scholarship Program 2011
    Louisiana School Choice Program for Certain Students with Exceptionalities 2010
    Louisiana Student Scholarships for Educational Excellence Program 2008
    Maine Town Tuitioning Program 1873
    Maryland Broadening Options and Opportunities for Students Today (BOOST) Program 2016
    Mississippi Nate Rogers Scholarship for Students with Disabilities Program 2013
    Mississippi Mississippi Dyslexia Therapy Scholarship for Students with Dyslexia Program 2013
    North Carolina Opportunity Scholarships 2013
    Ohio Income-Based Scholarship Program 2013
    Ohio Jon Peterson Special Needs Scholarship Program 2011
    Ohio Educational Choice Scholarship Program 2005
    Ohio Autism Scholarship Program 2003
    Ohio Cleveland Scholarship Program 1995
    Oklahoma Lindsey Nicole Henry Scholarships for Students with Disabilities 2010
    Utah Carson Smith Special Needs Scholarship Program 2005
    Vermont Town Tuitioning Program 1869
    Wisconsin Special Needs Scholarship Program 2015
    Wisconsin Parental Choice Program (Statewide) 2013
    Wisconsin Parental Private School Choice Program (Racine) 2011
    Wisconsin Milwaukee Parental Choice Program 1990

    Sources: EdChoice, "School Choice in America Dashboard," accessed September 5, 2023
    Education Next, "As Many More States Enact Education Savings Accounts, Implementation Challenges Abound," August 1, 2023

    Education tax credits[edit]

    Education tax credits allow corporations and individuals to receive tax credits for contributing to scholarship programs. Some states have policies allowing individuals to write off approved educational expenses from their state income taxes.


    K-12 tax-credit policies by state[edit]

    States with education tax-credit policies
    State Program name Type of tax-credit policy Year enacted
    Alabama Accountability Act of 2013 Parent-Taxpayer Refundable Tax Credits Individual credit/deduction 2013
    Alabama Alabama Opportunity Scholarship Fund Scholarship 2013
    Arizona “Switcher” Individual Income Tax Credit Scholarship Program Scholarship 2012
    Arizona Lexie’s Law for Disabled and Displaced Students Tax Credit Scholarship Program Scholarship 2009
    Arizona Original Individual Income Tax Credit Scholarship Program Scholarship 1997
    Arkansas Philanthropic Investment in Arkansas Kids Scholarship Program Scholarship 2021
    Florida Florida Tax Credit Scholarship Program Individual credit/deduction 2001
    Florida Hope Scholarship Program Florida Scholarship 2018
    Georgia Private school tax credit Scholarship 2008
    Illinois Tax Credits for Educational Expenses Individual credit/deduction 1999
    Illinois Invest in Kids Program Scholarship 2017
    Indiana Private School/Homeschool Deduction Individual credit/deduction 2011
    Indiana School Scholarship Tax Credit Scholarship 2009
    Iowa Tuition and Textbook Tax Credit Individual credit/deduction 1987
    Iowa School Tuition Organization Tax Credit Scholarship 2006
    Kansas Tax Credit for Low-Income Students Scholarship Program Scholarship 2014
    Louisiana Elementary and Secondary School Tuition Deduction Individual credit/deduction 2008
    Louisiana Tuition Donation Credit Program Scholarship 2012
    Minnesota K–12 Education Credit Individual credit/deduction 1987
    Minnesota Education Deduction Individual credit/deduction 1955
    Missouri Missouri Empowerment Scholarship Accounts Program Scholarship 2021
    Montana Tax Credits for Contributions to Student Scholarship Organizations Scholarship 2015
    Nebraska Opportunity Scholarships Act Scholarship 2023
    Nevada Nevada Educational Choice Scholarship Program Scholarship 2015
    New Hampshire Education Tax Credit Program Scholarship 2012
    Ohio K–12 Nonchartered Private School Tax Credit Individual credit/deduction 2021
    Ohio K–12 Home Education Tax Credit Individual credit/deduction 2021
    Ohio Ohio Tax-Credit Scholarship Program Scholarship 2021
    Oklahoma Oklahoma Parental Choice Tax Credit Act Individual credit/deduction 2023
    Oklahoma Oklahoma Equal Opportunity Education Scholarships Scholarship 2011
    Pennsylvania Opportunity Scholarship Tax Credit Program Scholarship 2012
    Pennsylvania Educational Improvement Tax Credit Program Scholarship 2001
    Rhode Island Tax Credits for Contributions to Scholarship Organizations Scholarship 2006
    South Carolina Refundable Educational Credit for Exceptional Needs Children Individual credit/deduction 2015
    South Carolina Educational Credit for Exceptional Needs Children Fund Scholarship 2013
    South Dakota Partners in Education Tax Credit Program Scholarship 2016
    Utah Special Needs Opportunity Scholarship Program Scholarship 2020
    Virginia Education Improvement Scholarships Tax Credits Program Scholarship 2012
    Wisconsin K–12 Private School Tuition Deduction Individual credit/deduction 2013

    Sources: EdChoice, "School Choice in America Dashboard," accessed September 5, 2023


    Arguments for and against school choice[edit]

    Proponents of school choice policies argue the programs and policies improve educational outcomes and expand opportunity and access for historically disadvantaged students. In addition, supporters say school choice policies empower parents and improve traditional public schools through competition.[27][28]

    Critics of school choice policies contend such programs divert funds from traditional public schools, resulting in—or exacerbating—unequal outcomes among students. In addition, critics say school voucher programs and ESAs direct tax dollars to religious organizations, which operate many private schools.[29][30]

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    See also[edit]

    Footnotes[edit]

    1. U.S. Department of Education, "Trends in the Use of School Choice 1993 to 2003," November 2006
    2. American Enterprise Institute, "The Best Argument for School Choice," June 14, 2023
    3. Hentschke, G. (2017). A Brief and Future History of School Choice". In Fox, R. and Buchanan, N., Ed. "The Wiley Handbook of School Choice." (28-45). John Wiley & Sons, Inc. (2017)
    4. Wisconsin Department of Public Instruction, "A brief history of voucher expansion," accessed September 22, 2023
    5. Fox 5 Atlanta, "Kemp signs Georgia school voucher bill amid controversy," April 23, 2024
    6. The Sheridan Press, "Governor signs state's first education savings account program into law, limits eligibility," March 25, 2024
    7. The Office of Alabama Governor kay Ivey, "Governor Ivey Signs the CHOOSE Act into Law," March 7, 2024
    8. The Office of Alabama Governor kay Ivey, "Governor Ivey Makes Passing Education Savings Account Bill Top Legislative Priority, Announces the CHOOSE Act Filed," February 6, 2024
    9. Education Next, "What Is an Education Savings Account, and Why Does It Matter?" May 11, 2023
    10. American Experiment, "No, Education Savings Accounts are not the same as vouchers," April 28, 2021
    11. USA Facts, "From charter schools to tax credit scholarships: School choice explained," October 26, 2021
    12. The Policy Circle, "Education Savings Accounts," accessed September 5, 2023
    13. Education Next, "As Many More States Enact Education Savings Accounts, Implementation Challenges Abound," August 1, 2023
    14. Program scheduled to launch in 2025
    15. Scheduled to take effect in 2025
    16. Scheduled to take effect in 2025
    17. Arkansas Democrat Gazette, "Sanders signs Arkansas LEARNS, her education overhaul, into law," March 9, 2023
    18. Division of Elementary & Secondary Education," accessed October 20, 2023
    19. KATV, "School choice vouchers: LEARNS Act Education Freedom Accounts a class act or lesson in uncertainty?" September 10, 2023
    20. Washington Examiner, "'School choice revolution': Utah becomes third state to enact universal program," January 30, 2023
    21. Utah State Board of Education, "Utah Fits All Scholarship Program," accessed October 20, 2023
    22. IPR, "Reynolds signs law creating tax-funded accounts, expanding school choice in Iowa," January 24, 2023
    23. LegiScan, "Montana House Bill 393," accessed October 20, 2023
    24. South Carolina Department of Education, "Education Scholarship Trust Fund Program," May 5, 2023
    25. NC Newsline, "Gov. Cooper will let state budget bill become law without his signature," September 22, 2023
    26. The Dallas Morning News, "What are school vouchers and how are they different from ESA effort pushed in Texas?" July 26, 2022
    27. Teach Democracy, "BRIA 8 2 b The Debate Over School Choice," accessed September 12, 2023
    28. American Enterprise Institute, "The Best Argument for School Choice," June 14, 2023
    29. Huff Post, "Top 10 Reasons School Choice Is No Choice," February 18, 2017
    30. ACLU, "The School Choice Myth and Our (Literal) Case Against It," January 29, 2016

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