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ESA and school-choice money › Alabama CHOOSE Act

Alabama CHOOSE Act for homeschool families

Education savings account · Alabama · 2026-27 · checked Oct 12, 2026 against 6 sources · General information, not legal or financial advice.

Your Alabama CHOOSE Act to-do

  1. Check that your child qualifies
    Children in a home education program (an individual or group program, homeschool, co-op, etc.) can take part and get the smaller home education amount. For 2026-27 the household income limit is 300% of the federal poverty level (2025 tax year); from 2027-28 there is no income limit.
  2. Apply for 2026-27 (closed)
    New families Jan 2 - Mar 31, 2026; renewals Dec 15, 2025 - Mar 31, 2026. Award emails from April 15, 2026.
  3. Funds deposited
    From July 1, 2026. For home education awards no action is needed (school students must send proof of enrollment by June 30). Accept the affidavit in ClassWallet to see and use the funds.
  4. Spend this year's funds
    By June 30, 2027 (academic year July 1, 2026 - June 30, 2027); what is left goes back to the CHOOSE Act Fund.
  5. Apply for 2027-28
    The application process begins in January 2027, open to all Alabama families regardless of income.

Print the receipt checklist

What a valid Alabama CHOOSE Act receipt shows, and a log to fill in.

What Alabama CHOOSE Act says

CHOOSE Act Education Savings Account, run by Alabama Department of Revenue (ALDOR), with ClassWallet for program support.

Homeschoolers
Homeschoolers can use it
Children in a home education program (an individual or group program, homeschool, co-op, etc.) can take part and get the smaller home education amount. For 2026-27 the household income limit is 300% of the federal poverty level (2025 tax year); from 2027-28 there is no income limit.
Amount
WhoGradesPer year
Home education programK5-12$2,000
2026-27, deposited from July 1, 2026. Capped at $4,000 per family: only two student wallets show funds, but the money can be used for every eligible sibling.
Participating schoolK5-12$7,000
2026-27, for a student enrolled in a participating school. Not for home education.
What you can spend on
  • Computers and technological aids
  • Curriculum and supplemental reading materials
  • Educational software and applications
  • Educational therapies for students with disabilities
  • Fees for after-school or summer education programs provided by a participating school
  • Fees for standardized and nationally recognized assessments
  • Instructional materials (i.e., school supplies)
  • Private Tutoring in approved subjects
  • Services provided by a public school district including specific classroom instruction
  • Textbooks in approved subjects
  • Tuition and fees at a participating school
  • Tuition and fees for an approved nonpublic K5-12 online learning program
What a receipt must show
  • No reimbursement to families: products are bought in the ClassWallet Marketplace and providers are paid with "Pay Vendor"
  • Paying a provider needs an invoice showing: provider name and address, student name, parent name, date of invoice, date(s) of service, type of service (what payment is for), total amount due; otherwise it is rejected
  • Handwritten documentation is not approved
  • Only invoices for services provided during the 2026-2027 academic year are approved
  • One invoice may cover several students if each student's charges are listed separately
  • If an invoice contains any ineligible expense, the entire invoice is rejected
Where you submit
ClassWallet · site
Direct pay: the program pays approved vendors
Learning plan
Not verified yet
Testing
Not verified yet
Renewal
Yearly renewal application (for 2026-27: Dec 15, 2025 - Mar 31, 2026, link emailed by ClassWallet); details for 2027-28 come in early 2027. Funds do not roll over: the balance on June 30 returns to the CHOOSE Act Fund.
Legally a refundable income tax credit (Act 2024-21, HB129), administered by the Alabama Department of Revenue.
Award order: the first 500 ESAs for students with special needs, then students awarded the prior year, then dependents of active-duty service members at a priority (D or F) school, then by household income; siblings of participating students get priority.
Parents must accept the CHOOSE Act Alabama Affidavit in ClassWallet for each student before using the funds.
A parent cannot be paid as an education service provider for their own child. Tutors need accreditation, a bachelor's degree or state certification, plus a background check.
Technology: technological devices up to $500 per student per year; one computer under $1,200 every two academic years.
2026-27: almost 49,000 students applied and over 34,000 were approved (Governor's office, July 2026).

Sources

General information, not legal or financial advice. Programs change their rules every year; check with Alabama Department of Revenue (ALDOR), with ClassWallet for program support before you spend. If something looks wrong, tell us.

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