The paper defines the handicapped student, reviews legislation affecting the handicapped, points out funding for mainstreaming of students, and describes approaches to providing business education to the handicapped. Three broad categories of disability--physical, mental/emotional, and educational--are defined. The mandates of the Education for All Handicapped Children Act, 1975; P.L. 94-482--Education Amendments of 1976, Title II; and Rehabilitation Act of 1973, Sections 503 and 504 are considered. Information is offered on federal, state, and local funding for mainstreaming of handicapped students. Guidelines are provided for preparing the student and individualizing instruction for such skills as typewriting, shorthand, and filing. Tables provide statistics on the incidence level of various types of handicaps and federal funds for vocational education. (SB)