The Ultimate Guide to ESA and STOs

The Ultimate Guide to ESA and STOs

If you live in Arizona and have a child with autism or other exceptionalities, you have options when it comes to paying for their private education. 

In the state of Arizona, there are two primary funding providers for your student's education. This article will discuss some of the key questions about ESA and STOs. What are Empowerment Scholarship Accounts (ESAs) and School Tuition Organizations (STOs)? Am I eligible? How much of my student's education do they cover? And how do I apply? 

What is ESA?

The Empowerment Scholarship Account program was started by the Arizona Department of Education in 2012 to help fund private and at-home education costs for students. One of the largest groups of recipients is disabled students. 

1. Is my student eligible for ESA?

The ESA targets parents who want to take their child out of the public school system and explore alternative education paths. This helps parents find the best education for their children. Students are eligible for the ESA from the age of 4 until they are 22 years old. The program is very popular and over 60,000 students receive ESA scholarships.

  • You must submit a current copy of your student's MET or IEP from an Arizona public or charter school. 

  • You must present your student's birth certificate and proof of Arizona residency.

  • You and the student must reside in Arizona.

2. What amount would I receive through ESA?

The amount received could be up to 100% of the education costs. It all depends on the primary educational eligibility determination. What does that mean?

Students with the eligibility of autism are generally entitled to more significant amounts than students with other eligibilities such as Learning Disabled or Other Health Impaired (i.e., ADHD).

To receive these highest levels of funding, you need to have a MET or IEP stating the category of eligibility. If your student has ever qualified for Special Education services in a public or charter school, they probably already have one. If you're unsure, we recommend you check out our comprehensive guide to ESA and STOs here

3. How to complete the ESA application?

So, how do you apply for ESA? The good news is, it's pretty straightforward and after applying takes around three weeks to receive funding with an account with the ESA. You can fill out the form here on the Arizona Department of Education Website. One thing to watch out for is that funds are distributed quarterly, so try to apply as early as possible to avoid missing out on funding for one quarter.

If your student isn't eligible for ESA, don't worry! That's where STOs come in. Read that section to find out what to do next.

What is a School Tuition Organization?

School Tuition Organizations offer a special program where taxpayers can choose how their taxes are spent by utilizing state tax credits. These state tax credits fund scholarships for students to attend qualified private schools in Arizona like the PS Academy.

Am I eligible for School Tuition Organizations?

If your student doesn't qualify for ESA and resides in Arizona, STOs are the way to go. The School Tuition Organizations will decide whether you are eligible for funding depending on your student's circumstances.

How do I apply to School Tuition Organizations?

There is no universal application form for School Tuition Organizations, so you must apply to the different STOs individually. Because of this, we usually recommend you get in touch with our Funding Specialist. They can meet with you to go over all the different deadlines and answer any questions you've got about the process.

How many School Tuition Organizations do we work with?

Often STOs build relationships with just a handful of schools and vice versa. For instance, here at PS Academy, we have relationships with nine different STOs, so we can make requests or recommendations to them to secure funding for students.

How much can I receive from School Tuition Organizations?

The amount you receive varies depending on which STOs you apply to and your student's individual circumstances. The STO will decide how much funds to assign to your student based on their assessment of you and your student's needs.

How to assign your tax credits to STOs

You redirect your taxes to STOs, which fund scholarships for students. Simple. You don't pay anything out of your pocket but benefit from knowing your taxes are going to a worthy cause. We've got more information about STOs in our Parents Guide to ESA and STOs. You can find a list of School Tuition Organizations and more details on how to assign your tax credits here.

Not sure whether your student is eligible for ESA or STOs funding?

Try our Parents Guide to ESA and STOs, or get in touch. We have years of experience securing student funding and have helped hundreds of students access ESA and STOs funding. 

In fact, 95% of students at our school have 100% of their tuition covered. 

We know funding can be daunting and stressful, and that’s why we are here to help. Get in touch with an enrollment specialist to learn more about our programs and have your questions about tuition answered.