This study examined the potential influence of test-based accountability policies on school environment and teacher stress among early elementary teachers. Structural equation modeling of data from 541 kindergarten through second grade teachers across three states found that use of student performance on high-stakes tests to evaluate teachers indirectly was related to teachers' professional investment via test stress in the environment. Although students in kindergarten through second grade do not take high-stakes assessments, early elementary teachers reported high levels of stress associated with test-based accountability policies. This study provides data across multiple states that test-based accountability policies may have negative influences on school environment and teacher stress among early elementary teachers. Implications for practice and research are discussed.