The CHOOSE Act is a new education savings account (ESA) program that gives eligible K‑12 students in Alabama funding to help families pay for private school tuition, tutoring, fees, and other qualified educational expenses.
Known formally as the Creating Hope and Opportunity for Our Students’ Education (CHOOSE) Act, the law was signed in 2024 and began providing benefits in the 2025‑2026 school year.
The Alabama Department of Revenue (ALDOR) manages the program, and the first applications for 2026‑27 opened in January 2026.
CHOOSE Act
The CHOOSE Act creates refundable income tax credits, called education savings accounts (ESAs), to support K‑12 education choice in Alabama. The funds can be used at approved participating schools and education service providers (ESPs) to pay for tuition, fees, textbooks, tutoring, educational therapies, and other qualified educational expenses.
The program is designed to give families more flexibility in choosing the educational setting that best meets their child’s needs.
Under the ESA structure, families approved for funding receive money deposited into an online wallet platform, such as ClassWallet, for authorized use with approved providers.
The funds cannot be reimbursed directly to parents and must be spent only on eligible services.
How Much Money Can You Receive?
For the 2026‑2027 school year, the CHOOSE Act provides the following ESA funding amounts:
- $7,000 per eligible student enrolled in a participating school (this is the amount most families use for private school tuition).
- $2,000 per eligible student participating in a home education program (capped at $4,000 per family).
The amount applies every academic year, and funds are distributed once the family’s application is approved and verified.
Who Is Eligible to Apply in 2026?
For the 2026‑2027 academic year, the CHOOSE Act eligibility rules include:
- Students in grades K‑12 who are Alabama residents and lawfully present in the U.S.
- Families with a household adjusted gross income (AGI) not exceeding 300 percent of the federal poverty level in the preceding tax year.
- Priority is given first to students with special needs, then to students and their siblings already participating in the program, and then to other families based on income.
For the 2027‑2028 academic year and beyond, the income limit will be eliminated and the program will be open to all families regardless of income.
How Do You Apply for the CHOOSE Act?
To apply for the 2026‑27 CHOOSE Act funding:
- Visit the official program website to access the online application form, eligibility details, and supporting materials.
- Complete the online application with your student’s information, household income details, and documentation of enrollment at a participating school or education program.
- Submit all required information before the application deadline.
Applications for the 2026‑27 year opened on January 1, 2026, and must be submitted by March 31, 2026.
Families renewing their applications were able to begin as early as mid‑December 2025. Awards are expected to be notified by April 15, 2026.
Verification of enrollment must be completed by June 30, 2026 for the funding to begin on July 1, 2026.
What Expenses Are Covered?
Once approved for CHOOSE Act funding, families can use the ESA money for qualified educational expenses at approved participating schools and ESPs. These may include:
- Private school tuition and mandatory fees
- Textbooks and instructional materials
- Tutoring and educational therapies provided by approved partners
- Other school‑related expenses allowed by the CHOOSE Act rules
Funds are disbursed through the digital wallet system and may be accessed after approval via platforms like ClassWallet, with instructions sent to families once awards are finalized.
What Are Participating Schools and Providers?
To use the CHOOSE Act funding, your child must attend a participating school or work with an approved education service provider (ESP).
The official site at chooseact.alabama.gov maintains lists of approved schools and ESPs that accept ESA funds.
Providers must meet specific accreditation and reporting requirements to participate.
When Will Funds Be Available?
For the 2026‑27 school year, families whose applications are approved and verified will begin accessing their ESA funds on or after July 1, 2026, in time for the fall academic term.
Funds are expected to remain available throughout the academic year for approved educational expenses.
Where Can You Get Help with the Application?
If you have questions about the application process or need assistance with logging into the CHOOSE Act portal, contact the Alabama Department of Revenue or the ClassWallet support team.
Support contact information, and FAQs, are available on the official CHOOSE Act website.
