US Educational Services Sector NAICS 61

Feb 3, 2026 - Federal Tax Credit Program Adoption Increases

• Twenty-three states have joined the new federal tax-credit program that allows people to donate to organizations that give scholarships for private school tuition or extra support services for public school students as of January 31, 2026, according to Education Week. The US Congress in July 2025 included a tax-credit scholarship in the One, Big Beautiful Bill Act, allowing taxpayers to claim tax credits in exchange for donations to organizations that grant private school scholarships. The federal tax-credit program allows donors to receive a dollar-for-dollar tax credit up to $1,700 starting in the 2027 federal tax year. Dollar-for-dollar means that an individual is given a tax credit equal to the amount they donate, which differs from the standard tax deduction that only reduces taxable income. The scholarships are available for families who earn up to 300% of their area’s median income. They can cover anything that is already covered under Education Savings Accounts, which include tuition, tutoring, special needs services, school supplies and transportation, for private or public school students.
• US higher education faces a tough 2026 as institutions navigate enrollment pressures, rising expenses, and political headwinds under the Trump administration, according to Moody's Ratings. The ratings agency issued a negative outlook for the higher education sector for fiscal 2026 amid economic uncertainty and shrinking margins. "Federal policy and a shrinking population of high school graduates create an increasingly difficult and shifting operating environment for colleges and universities," analysts said in a mid-January report. Institutions with large master’s degree offerings will be particularly vulnerable to shifts in student demand if prospective students are not able to fully access the private loan market, analysts said.

• The US Department of Education has made major changes to loan disbursement, repayment, and student loan forgiveness rules. "The Department’s rulemaking will eliminate the Grad PLUS program, which has fueled unsustainable student loan borrowing, cap Parent PLUS Loans, sunset the confusing maze of student loan repayment plans created by the Obama and Biden Administrations and create a new and simplified Repayment Assistance Plan (RAP)," according to a Department statement. Critics argue that the changes to student loans will be detrimental to borrowers and families, leading to higher monthly payments, narrower student loan forgiveness pathways, and limited options to pay for higher education.
• Educational services sector employment continued rebounding during 2023 and exceeded pre-pandemic levels by mid-2024, according to the US Bureau of Labor Statistics. Educational services sector sales are forecast to increase at a 6.04% compounded annual rate from 2025 to 2029, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.