Iowa ESA

An ESA (education savings account) is a state-supervised spending account for parents containing a student’s educational funds in grades K-12. Parents are responsible for managing the student’s funds which may be used to cover tuition, fees, and other qualified education expenses at accredited private schools in Iowa.

Who is Eligible?

Year 2: School Year 2024-25

ESA funding per student is equal to the state student rate, approximately $7,635 per student. Qualifying students are:

All entering kindergarten students

All students who have previously received an ESA regardless of income.
All students previously enrolled in a public school
A student enrolled in a private school with a household income at or below 400% of the Federal Poverty level. 

How do I Apply?

The ESA application will open at 8 am April 16, 2024. Applications will be due on June 30, 2024, for the 2024-2025 school year. Applications are valid for one year; families must apply annually to remain eligible for the program.

Sign up for notifications of ESA details on the Iowa Department of Education website.

The number being used to determine qualification for ESAs will be line 4 (Iowa Taxable Income) on the 2023 Iowa 1040 form (https://tax.iowa.gov/sites/default/files/2023-11/IA1040%2841001%29_print.pdf). Note that the form has changed significantly from previous years, so encourage families to check with their tax professional for planning purposes. The change to the tax form could make a big impact for how many students qualify for ESAs (in a positive way). If families thought they wouldn’t qualify until year 3, we encourage them to check with their tax professional to make sure and to discuss any year-end tax planning that they may be able to do.

Click the link below to open the Odyssey webpage to create an account to enroll your child in an ESA savings account.

https://withodyssey.com/iowa.html

Guidance from IDOE website:

ESA funds are not available to pay for preschool tuition. ESA funds must be used for kindergarten through 12th grade education at an accredited private (nonpublic) school in Iowa. Students must be enrolled full time.

Once an ESA account is established for a student, funds will be deposited in the account each year as long as they are enrolled in an accredited private school and until the student graduates from high school or turns 20 years of age. Families are required to apply annually to remain in the program.

Frequently Asked Questions

Q. My income is under 400% of the federal poverty level. Can I apply for both ESA money and Financial Aid?

A. Yes, families who are under 400% of the federal poverty level can apply for both ESA funds and financial aid through LOG-STO or TRIP.

Q. Where can I find out more details about ESAs?

A. OSCI will continue to share important details and deadlines with families, but you can learn more about ESAs through the Iowa Department of Education website.