Scholarships

CHED Tertiary Education Subsidy (TES): What It Actually Covers

By SchoolFinderPH TeamJune 13, 20268 min read
CHED Tertiary Education Subsidy (TES): What It Actually Covers

TL;DR: The Tertiary Education Subsidy is created by Section 7 of Republic Act 10931 and administered by the UniFAST Board. The law fixes no peso amount, but the Board's current circular does: UniFAST Memorandum Circular No. 01, series of 2026 pays PHP 20,000 an academic year in SUCs and CHED-recognised LUCs and PHP 27,000 in private HEIs, plus PHP 10,000 a year for grantees with a disability and a one-time PHP 8,000 licensure-exam reimbursement. There is no peso income cap — applicants are ranked by household per capita income. You apply through your school, not to CHED directly.

What TES pays

TES is one of the most valuable pieces of student aid in the country and one of the most misreported. The statute contains no peso figure, which is why invented ones circulate. The figures below come from Section 4 of the 2026 Revised TES Guidelines, issued as UniFAST Memorandum Circular No. 01, series of 2026, signed on 3 June 2026 and effective from the first semester of AY 2026-2027.

GranteePer semesterPer academic year
Enrolled in a SUC or CHED-recognised LUC, top priority categoryPHP 10,000PHP 20,000
Enrolled in a private HEI, top priority categoryPHP 13,500PHP 27,000
Dependent of a solo parent, or member of an ICC or IP communityPHP 5,000PHP 10,000
TES-3A, additional, grantee with a disabilityPHP 5,000PHP 10,000
TES-3B, licensure exam reimbursementup to PHP 8,000, one time

Two extras sit outside that table. Students at risk of dropping out may receive a one-time additional PHP 10,000 subject to their school's assessment, under separate guidelines the Board has still to issue. And students at a private HEI in a city or municipality with no SUC or LUC — a PNSL grantee — receive an amount the Board sets separately.

The circular also states that benefits already granted shall not be reduced, and may be increased, for as long as the grantee stays eligible and funds allow.

What Section 7 of the law says the subsidy may support is broader than a tuition discount: tuition and other school fees at private institutions capped at the rates of the nearest public institution, books and supplies, transportation, room and board, disability-related expenses, and the one-time cost of a first professional credential. The circular's peso amounts are how that list is funded in practice, paid to the student rather than deducted from a bill.

Who qualifies

TES targets Filipino undergraduates with demonstrated financial need. There is no grade-point cutoff in the statute. What the law does exclude, under Section 6, is instructive because the same disqualifiers reappear across RA 10931's benefits:

SituationEffect
Already hold a bachelor's or comparable undergraduate degreeNot eligible
Fail to meet the institution's admission and retention policiesNot eligible
Exceed one year beyond the programme's prescribed periodNot eligible
Hold a technical-vocational certificate at NC III or above (for TVI benefits)Not eligible for the TVI benefit

The practical reading: TES is not a merit award, but it is not unconditional either. Staying in good academic standing and finishing roughly on time are the conditions.

How priority actually works

This is where applications are won and lost. RA 10931 Section 7 sets a ranking rather than a cut-off, and Section 3 of MC 01 s.2026 works it into two tiers for new slots:

  1. Students from households in the most updated Listahanan, the DSWD's national household targeting database, ranked by household per capita income as determined by DSWD. If DSWD certifies that Listahanan has been discontinued, the 4Ps list is used instead, including dependents of solo parents, members of Indigenous Peoples communities and persons with disabilities.
  2. Dependents of solo parents in active status, and members of Indigenous Cultural Communities or Indigenous Peoples, again ranked by household per capita income, pursuant to the special provision of the 2026 General Appropriations Act. Solo-parent dependents must appear in the official DSWD registry; ICC/IP applicants must be in a household recognised by the National Commission on Indigenous Peoples.

Three consequences follow. First, there is no peso income cap. The widely repeated PHP 400,000 ceiling appears nowhere in RA 10931 and nowhere in the 2026 TES guidelines. If your household income is above that figure, you are not disqualified, you are simply ranked. Second, being in Listahanan puts you ahead of the entire second tier, so confirming your household's listing status with your local DSWD office is worth doing before you file anything. Third, within each tier, ranking is by per capita income. A household earning the same total but supporting more dependents ranks higher, so report household size accurately.

Because the list is ranked and slots are finite, a qualified applicant with thin documentation can lose to a qualified applicant with complete documentation. That is the whole game.

TES and free tuition are different things

Students at state institutions routinely conflate the two. They come from different sections of the same law and work differently.

Free tuition (Section 4)TES (Section 7)
Who it coversFilipino students enrolled at SUCs and LUCsQualified students at SUCs, LUCs, private HEIs and TVIs
ApplicationNone, automatic for eligible studentsYes, through your school
Income-testedNoRanked by household per capita income, no peso cap
What it paysTuition and other school fees at the institutionPHP 20,000 a year at a SUC or LUC, PHP 27,000 at a private HEI

Free tuition handles the tuition line at a state school. TES handles what free tuition does not: books, transport, room and board, and the costs that actually stop students from finishing. Receiving one does not bar you from the other.

For the wider picture, see our CHED free tuition guide and the list of free-tuition universities. For a head-to-head against the other CHED programmes, read TES vs Tulong Dunong vs free tuition.

How to apply

TES applications are school-based. There is no national online portal where a student applies directly. Your college collects applications, screens them, ranks them and submits them.

  1. Ask your school's scholarship office or student affairs office when the intake opens. Many schools open TES intake before regular enrolment, and close it early.
  2. Confirm your Listahanan 2.0 status with your local DSWD office. If your household is listed, say so in the application and document it. It moves you into the first priority group.
  3. Gather income documentation. For applicants outside Listahanan, that generally means payslips, a BIR Form 2316 or income tax return for employed parents, and a barangay or DSWD certification where applicable. Ask your school which formats it accepts, because this varies.
  4. Report household composition accurately. Ranking is by per capita income, so the number of dependents matters as much as the income figure.
  5. Submit before the school's deadline, not the national one. Schools close their own intake, and late submissions generally are not accepted.
  6. Let the school upload and rank. You cannot do this step yourself.
  7. Wait for confirmation and disbursement through your school.

TES is not automatically renewed. Reapply each academic year you want it.

If you do not get a slot

Slots are finite and the ranking is real, so plan for the possibility.

  • Ask for written confirmation and a waitlist place. Funded slots occasionally free up when approved students withdraw.
  • Apply for CHED Tulong Dunong, the other non-repayable CHED assistance route. See our Tulong Dunong guide.
  • Consider the statutory loan programme. RA 10931 Section 8 creates a student loan programme covering tertiary education at SUCs, LUCs, private HEIs and registered TVET programmes, with short-term and long-term loans, licensure exam review loans, and graduate study loans available after an undergraduate loan is repaid. Repayment is collected through SSS or GSIS contributions once income passes a Compulsory Repayment Threshold, with the UniFAST Board setting rules for OFWs, the self-employed and others outside those systems. It is a loan, so treat it as the fallback rather than the plan.
  • Reconsider the school. If the numbers do not work, compare affordable colleges in the Philippines before committing to another year.

The one thing to take away

Check the figure against a UniFAST circular before you budget against it. The statute sets the rule and the UniFAST Board sets the amount, reviewed against each year's appropriation. The rule is stable. The amount moves, and old amounts keep circulating long after they are superseded — as does the PHP 400,000 income cap, which was never in the law at all.

Looking for a school you can afford? Compare tuition across hundreds of Philippine schools on SchoolFinderPH.

Sources

Frequently Asked Questions

How much money does TES actually give?

RA 10931 itself sets no peso amount. The UniFAST Board does, and its current issuance is Memorandum Circular No. 01, series of 2026, effective from the first semester of AY 2026-2027. Section 4 puts the subsidy at PHP 10,000 a semester or PHP 20,000 an academic year in SUCs and CHED-recognised LUCs, and PHP 13,500 a semester or PHP 27,000 an academic year in private HEIs, for grantees in the top prioritisation category.

Can I get TES at a private school?

Yes. Section 7 explicitly extends TES to students in private higher education institutions, as well as SUCs, LUCs and TVIs. The catch is the cap: the tuition component is pegged to what the nearest public institution charges, so at an expensive private school it will not cover the whole bill.

Is TES a scholarship or a subsidy?

A subsidy. It is needs-based rather than merit-based, you do not repay it, and there is no published grade-point cutoff in the law. What the law does bar is overstaying: students who exceed one year beyond their programme's prescribed period lose entitlement, and so do students who already hold a bachelor's degree or who fail their institution's admission and retention policies.

Who gets priority?

RA 10931 Section 7 sets a ranking, not an income cut-off. MC 01 s.2026 works it through in two tiers. First, students from households in the most updated Listahanan, or the 4Ps list if DSWD certifies Listahanan discontinued, ranked by household per capita income as determined by DSWD. Second, dependents of solo parents in active status and members of Indigenous Cultural Communities or Indigenous Peoples, again ranked by household per capita income. Poorer households rank higher within each tier.

Does TES cover board exam costs?

Yes, through TES-3B. Under Section 4 of MC 01 s.2026, TES graduates in courses requiring licensure examinations may claim a one-time reimbursement of up to PHP 8,000 towards the cost of sitting the exam. The circular defines the component as covering the one-time cost of the first professional credential, which can include application fees, notarial fees, review class fees, insurance premiums and documentation fees.

Can I get TES and free tuition at the same time?

Yes, and they are separate mechanisms. Free tuition at SUCs and LUCs comes from Section 4 and is automatic for eligible students. TES comes from Section 7, is applied for, and covers costs beyond tuition. Being covered by one does not disqualify you from the other.

Where are the official TES rules published?

The statute is RA 10931, the Universal Access to Quality Tertiary Education Act. The operating rules are UniFAST Memorandum Circular No. 01, series of 2026, the 2026 Revised TES Guidelines, published as a PDF on unifast.gov.ph. Amounts are reviewed against each year's appropriation, so treat any peso figure without a UniFAST circular behind it as unverified, including figures still circulating from older guidelines.

What if I do not get a slot?

RA 10931 Section 8 also creates a student loan programme covering tertiary education at SUCs, LUCs, private HEIs and registered TVET programmes, including licensure exam review loans, with repayment collected through SSS or GSIS contributions once your income passes a Compulsory Repayment Threshold. It is a loan, so exhaust the non-repayable options first.