Indiana Choice Scholarships and Education Funding Programs: A Parent’s Guide
A parent's guide to Indiana's education funding programs: the Choice Scholarship voucher, the Education Scholarship Account for students with disabilities, and the School Scholarship Tax Credit. Reviewed October 2026.
Last verified: October 11, 2026, using the Indiana Department of Education (IDOE) Choice Scholarship page, the Indiana Education Scholarship Account (INESA) page and EdChoice program pages. Indiana’s rules change with each legislative session and IDOE says so on its own page, so confirm eligibility, dates and award amounts with IDOE. This is general information, not legal, tax or financial advice.
Indiana is home to the largest school voucher program in the country by participation, according to EdChoice’s Fast Facts page, which lists 75,269 enrollees in 2024-25 for the Choice Scholarship Program. Indiana also has an education savings account for students with disabilities and a donor-funded tax-credit scholarship. Three programs, three different ways in.
This guide explains each program in plain terms, shows how the application works, and points out which parts of the process the school handles and which parts you handle. It is part of our state education funding series, which begins with the hub guide, State Education Funding Programs for Parents.
If you are brand new to the idea of homeschooling, our step-by-step guide to starting homeschooling covers the basics that apply in every state.
Quick answer: Indiana’s Choice Scholarship Program, commonly called the voucher program, offsets tuition at participating schools. IDOE says a student must have legal settlement in Indiana and be at least five and less than 22 years old by October 1 of the school year. Parents apply through the participating school the student attends, not directly with the state. Indiana also runs an Education Scholarship Account for students with disabilities and their siblings, and a School Scholarship Tax Credit that funds scholarships through donors. Verify current rules with IDOE.
Indiana's Three Programs at a Glance
The programs are easy to confuse because they all involve “scholarships.” This table separates them using IDOE and EdChoice descriptions.
| Program | Type | Who it serves | How you apply |
|---|---|---|---|
| Choice Scholarship Program | Voucher | Indiana students ages 5 to 21 (EdChoice summary) who meet IDOE’s requirements | Through the participating school the student attends |
| Indiana Education Scholarship Account (INESA) | ESA | K-12 students with disabilities and their siblings | Through the INESA application portal |
| School Scholarship Tax Credit | Tax-credit scholarship | Students applying to scholarship granting organizations | Through a scholarship granting organization |
The Choice Scholarship Program
IDOE describes the Choice Scholarship Program, authorized under Indiana Code chapters 20-51-1 and 20-51-4, as providing scholarships to eligible Indiana students in grades K-12 to offset tuition costs at participating schools. IDOE’s page says that effective June 29, 2023, a student must have legal settlement in Indiana and be at least five years old and less than 22 years old by October 1 of the school year the student applies. The page lists further eligibility details, so read it in full.
EdChoice summarizes the program as open to all Indiana students ages 5 to 21 and says that in previous years eligibility depended on family income up to 400 percent of the amount required to qualify for free or reduced-price lunch. It says vouchers are worth up to 90 percent of the state per-student spending amount for the sending school district. EdChoice lists 79,448 participating students in fall 2025 and an average account value of $6,536 for 2024-25.
Funds pay for tuition and fees at participating schools approved by the department. EdChoice says participating schools must be accredited by the state board or an agency the board recognizes, and they must administer the state’s standardized testing. Special education services may also be covered for students with disabilities. IDOE’s page links to the list of 2026-27 participating Choice schools and estimated award amounts, so start there if you want to see which schools take part and what awards look like.
How the Application Works: Your School Applies With You
Here is the part that surprises many families. IDOE says that once a Choice school has been selected, the student should enroll in the school. The school has access to an electronic application that it uses to submit the student’s Choice application. The parent or guardian provides documentation of eligibility to the school, and the application is submitted by the school using the information you provided through a password-protected website only available to school administrators.
IDOE also describes application periods. Applications submitted in the first period are full-year awards, provided the student is not withdrawn before the end of the school year. Applications submitted in the second period are half-year awards, provided the student remains enrolled through the end of the school year. If the student is approved, the school provides the parent with a copy of the award letter, which details the estimated amount of the scholarship. IDOE advises saving that letter.
The practical steps look like this:
- Review IDOE’s list of participating Choice schools and the estimated award amounts for the year.
- Contact the schools you like and ask about openings, tuition, fees and their own enrollment steps.
- Enroll your child in the school you choose.
- Give the school the documentation of eligibility that it requests.
- Wait for the school to submit the application, and ask when to expect the award letter.
- Keep the award letter and any correspondence.
Because the school handles the application, the school’s paperwork speed matters. Ask how it handles timing around the application periods, so you understand whether your child would receive a full-year or half-year award.
The Indiana Education Scholarship Account for Students With Disabilities
INESA is a separate program with its own administrator and portal. The INESA website says it provides scholarship funding to K-12 students with disabilities and, as of July 1, 2024, their siblings. It describes the program as allowing parents to opt out of the public school system and customize education to their child’s needs.
The INESA page states that scholarship awards vary based on the level of disability and the district where you live. It says students with a disability may receive up to $20,000 and siblings may receive up to $8,000. It also says recipients receive 100 percent of state special education dollars and 90 percent of the state tuition dollars that would have gone to the public school, while siblings without a disability receive only 90 percent of state tuition dollars.
The funds go into a dedicated account that can be spent on pre-approved education expenses. The page lists tuition and fees at approved INESA schools, camps and training programs, curriculum and supplies, transportation service, tutoring, individual classes, testing fees and therapies. An administrative change is worth noting: the INESA site says that effective July 1, 2026, administration of the ESA program transfers from the Office of the Indiana Treasurer of State to the Indiana Department of Education, and it lists IDOE contact information for the 2026-27 school year. It also says enrollment opens March 1. Because the program’s home changed this year, make sure you use the current IDOE pages and not an older treasurer’s office page.
EdChoice’s page on the program describes it as an ESA for students with special needs as well as their siblings. Ask IDOE which documentation your child needs and how this program interacts with the Choice Scholarship Program, since the programs have separate rules and separate applications.
The School Scholarship Tax Credit
The Indiana School Scholarship Tax Credit works through scholarship granting organizations. EdChoice says for the 2025-26 school year about 98 percent of Indiana students are eligible, with income limits tied to 400 percent of the free and reduced-price lunch guidelines, and that for 2026-27 and beyond the income requirement will be removed so all Indiana students will be eligible. Children must be between five and 21 by October 1 to participate. Currently enrolled private school students qualify.
The page says individuals and corporations may receive a 50 percent tax credit for their donations to these organizations, which determine scholarship amounts. Total credits claimed cannot exceed $18.5 million, which EdChoice says supports roughly 9,000 students, less than one percent of Indiana’s K-12 population. The credits are not refundable. EdChoice lists the average award as $2,053 and says qualifying expenses include tuition and expenses.
For a parent, the takeaway is that this route is limited by donor funding. Awards come from the organization, not from IDOE, so application dates and amounts depend on the organization. EdChoice marks the income-requirement change as something that takes effect for 2026-27, so verify the current rule with IDOE or the organization. Tax treatment for donors is a matter for the Indiana Department of Revenue or a tax professional.
Reading the Estimated Award Table Without Getting Misled
IDOE publishes estimated award amounts for 2026-27 on its Choice Scholarship page. The word “estimated” is doing real work. The award letter your school receives is the amount that counts, and IDOE says the letter details the estimated amount. EdChoice explains that vouchers are worth up to 90 percent of the state per-student spending amount for the sending school district, which is why the numbers can differ from one district to another.
Do not compare your award with the tuition at a school and stop there. Add the fees, books and uniforms the school requires, and ask whether the school’s tuition is the same for every family. Then think about timing. Because IDOE describes full-year awards for first-period applications and half-year awards for second-period applications, a child who starts later in the year could receive a smaller award. Ask the school when your child’s application will be submitted, so the timing does not surprise you.
Homeschooling Families and Indiana's Programs
The Choice Scholarship Program pays tuition and fees at participating schools. IDOE’s page for the voucher does not describe it as a source of funds for homeschool curriculum or supplies, and EdChoice’s page lists tuition and fees at participating schools as the qualifying use. Participating schools must also meet accreditation and testing requirements.
INESA is different in structure. Its listed uses include curriculum and supplies, tutoring, individual classes and testing fees, which suggests more flexibility than the voucher. Whether INESA funds may be used for a particular homeschool arrangement is not something the pages we reviewed spell out, so ask IDOE directly and get the answer in writing. Homeschool law in Indiana is set separately. Start with our guide to homeschool laws by state, and for a national comparison see can homeschoolers use state education funds.
Questions to Ask Before You Choose a School
- Is the school a participating Choice school for the current year, according to IDOE’s list?
- What does the school charge beyond what the scholarship pays, and how will we pay the difference?
- When will the school submit the application, and will it be in the first or second period?
- What documentation does the school need from me, and by what date?
- How will I receive the award letter, and what if the estimated amount changes?
- If my child has a disability, would INESA fit better than the voucher? Who can advise me?
- What are the school’s accreditation and testing arrangements?
Write down the answers and the date. If anything differs from what the IDOE page says, trust the IDOE page and ask the school to explain.
Frequently Asked Questions
Frequently Asked Questions
Who is eligible for the Indiana Choice Scholarship?
IDOE says a student must have legal settlement in Indiana and be at least five years old and less than 22 years old by October 1 of the school year the student applies. The page lists additional requirements.
Do I apply to the state or to the school?
Through the school. IDOE says the Choice school submits the student’s application using information you provide.
What is the difference between the Choice Scholarship and INESA?
The Choice Scholarship is a voucher that offsets tuition at participating schools. INESA is an education savings account for K-12 students with disabilities and their siblings.
Who administers INESA now?
The INESA website says administration transferred from the Indiana Treasurer of State to the Indiana Department of Education on July 1, 2026.
Is there an income limit for the tax credit scholarship?
EdChoice says the income requirement is removed for 2026-27 and beyond. Verify with IDOE or the scholarship granting organization.
Can I use the voucher for homeschooling?
The voucher pays tuition and fees at participating schools, so it is not described as a homeschool funding source. Ask IDOE about INESA for specific homeschool uses. N: Sources (reviewed October 11, 2026): IDOE Indiana Choice Scholarship Program; Indiana Education Scholarship Account; EdChoice program pages for the Choice Scholarship Program, the Education Scholarship Account Program and the School Scholarship Tax Credit; EdChoice Fast Facts. Not legal, tax or financial advice.
