Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
TWENTIETH CONGRESS 
First Regular Session 
House Bill No. _______ 
INTRODUCED BY REPRESENTATIVE PM VARGAS 
AN ACT 
ESTABLISHING A GRANT PROGRAM TO ENHANCE FINANCIAL AND 
RETIREMENT LITERACY FOR MID-LIFE AND OLDER FILIPINOS 
EXPLANATORY NOTE 
Article II Section IX of the 1987 Constitution provides that: 
“The State shall promote a just and dynamic social order 
that will ensure the prosperity and independence of the nation 
and free the people from poverty through policies that provide 
adequate social services, promote full employment, a rising 
standard of living, and an improved quality of life for all.” 
Despite the constitutional mandate, a significant number of Filipinos 
remain financially unprepared for retirement. According to Bangko Sentral ng 
Pilipinas (BSP) 2021 Financial Inclusion Survey, only 1 in 4 Filipino adults set 
aside money for retirement, and a large majority remain dependent on 
employment income or family support in old age. Even more concerning is 
that only 2% of adults invest in pension or retirement products, reflecting an 
alarming lack of retirement planning across demographics. 
The Philippine Statistics Authority (PSA) also reports that 7.7 million 
Filipinos aged 60 and above (as of the 2020 Census) make up more than 7% 
of the population- a figure expected to rise in the coming decades. This 
demographic shift places the additional economic pressure on families and 
social systems, especially since most older Filipinos rely heavily on support 
from children or informal sources.  
A study conducted by Insular Life in 2020 found that 7 out of 10 middle-
income earners aged 40 to 65 feel financially unprepared for retirement, while 
July 24, 2025
3:16 pm
2267


many lack contingency plans for medical emergencies or income loss. These 
findings reflect broader issue of financial literacy and the absence of targeted 
education programs for Filipinos in mid-life and beyond. 
While Republic Act 10679, or the “Youth Entrepreneurship Act”, laid 
the groundwork for strengthening the financial competencies of younger 
Filipinos, there remains a significant gap in educational support for older and 
mid-life individuals. It is essential to extend these programs to a broader 
population, particularly those nearing retirement age, to reduce dependency, 
enhance economic resilience, and prevent financial abuse and fraud, which 
disproportionately affect elderly populations. 
This proposed measure seeks to establish a national grant program 
aimed at enhancing financial and retirement literacy among mid-life and older 
Filipinos. Through this Act, the State can empower older adults to make 
informed decisions, plan for a dignified retirement, and remain productive and 
financially stable, ensuring successful aging.   
In view of the foregoing, the immediate passage of this bill is earnestly 
sought. 
REP. PM VARGAS   
Fifth District, Quezon City 


Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
TWENTIETH CONGRESS 
First Regular Session 
House Bill No. _______ 
INTRODUCED BY REPRESENTATIVE PM VARGAS 
AN ACT 
ESTABLISHING A GRANT PROGRAM TO ENHANCE FINANCIAL AND 
RETIREMENT LITERACY FOR MID-LIFE AND OLDER FILIPINOS 
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled: 
SECTION 1. Short Title. -  This Act shall be known as the “Retirement Security 
Education Act”. 
SECTION 2. Definition of Terms. – As used in this Act, the term- 
A.
“Financial Education” refers to education that promotes an
understanding of consumer, economic, and personal finance concepts, 
including saving for retirement, long-term care, and estate planning and 
education on predatory lending, identify theft, and financial abuse schemes. 
B.
“Mid-Life Individual” refers to an individual aged 45 to 64 years.
C.
“Older Individual” refers to an individual aged 65 or older.
D.
“Secretary” refers to the Secretary of Labor and Employment.
SECTION 3. Grant Program to Enhance Financial and Retirement 
Literacy and Reduce Financial Abuse and Fraud among Mid-Life and 
Older Filipinos. -  
2267


 
 
A. 
Authority – The Secretary is authorized to award to eligible 
entities to provide financial education programs to mid-life and older 
individuals who reside in local communities in order to – 
 
 
1. enhance and promote knowledge of financial issues, long-term 
care, and retirement issues among such individuals; and  
 
2. reduce financial abuse and fraud, including telemarketing, 
mortgage, and pension fraud, among such individuals. 
 
B. 
Eligible Entities – An entity is eligible to receive a grant under 
this section if such entity belongs to the following categories. 
 
1. a government agency or area agency on aging; or 
 
2. a non-profit organization with a proven record of providing – 
 
a. services to mid-life and older individuals; 
 
b. consumer awareness programs; or 
 
c. supportive services to low-income families. 
 
C. 
Application – An eligible entity desiring a grant under this section 
shall submit an application to the Secretary in such form and containing such 
information as the Secretary may require, including a plan for continuing the 
programs provided with grant funds under this section after the grant expires. 
 
D. 
Limitation on Administrative Costs – A recipient of a grant under 
this section may not use more than four (4) percent of the total amount of the 
grant in each fiscal year for the administrative costs of carrying out the 
programs provided with grant funds under this section. 
 
E. 
Evaluation and Report – 
 
1. Establishment of Performance Measures – The Secretary shall 
develop measures to evaluate the programs provided with 
grant funds under this section. 
2. Evaluation According to Performance Measures – applying the 
performance measures developed under paragraph (1), the 
Secretary shall evaluate the programs provided with grant 
funds under this section in order to- 


 
 
a. judge the performance and effectiveness of such 
programs; 
b. identify which programs represent the best practices of 
entities developing such programs for mid-life and older 
individuals; and  
c. identify which programs may be replicated. 
 
F. 
Annual Reports – For each fiscal year in which a grant is awarded 
under this section, the Secretary shall submit a report to Congress containing 
a description of the status of the grant program under this section, a 
description of the programs provided with grant funds under this section, and 
the result of the evaluation of such programs under paragraph (2). 
SECTION 4. National Training and Technical Assistance Program. –  
A. 
Authority – The Secretary is authorized to award a grant to one or 
more eligible entities to- 
1. create and make available instructional materials and 
information that promote financial education; and  
2. provide training and other related assistance regarding the 
establishment of financial education programs to eligible 
entities awarded a grant under Section 3. 
 
B. 
Eligible Entities – An entity is eligible to receive a grant under this 
section if such entity is a nonprofit organization with substantial experience 
in the field of financial education. 
 
C. 
Application – An eligible entity desiring a grant under this section 
shall submit an application to the Secretary in such form and containing such 
information as the Secretary may require. 
 
D. 
Basis and Term – The Secretary shall award a grant under this 
section on a competitive, merit basis. 
SECTION 5. Appropriations. – The amount necessary for the implementation 
of this Act shall be charged to the budget allocated to the Department of Labor 
and Employment and other relevant government agencies and institutions 
under the General Appropriations Act. 
SECTION 6. Implementing Rules and Regulations. – The Secretary of Labor 
and Employment, shall promulgate the rules and regulations necessary for 
the proper implementation thereof within one hundred twenty (120) days from 
the effectivity of this Act. 


 
 
SECTION 7. Separability Clause. – If any provision or part thereof is held 
invalid or unconstitutional, the remainder of the law or the provision not 
otherwise affected shall remain valid and subsisting. 
SECTION 8. Repealing Clause. – All laws, presidential decree or issuance, 
executive orders, letter of instruction, administrative order, rule and 
regulation contrary to or inconsistent with the provisions of this Act are hereby 
repealed, modified, or amended accordingly. 
SECTION 9. Effectivity. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in at least two (2) newspapers of general 
circulation. 
Approved,