Tertiary Student Finance Scheme - Publicly-funded Programmes (TSFS)

Method of Assessment

• Eligibility for financial assistance depends on the financial position of applicants’ family. The entitled level of assistance will be determined by a two-tier means test comprising an income test and an assets test. Details are as follows -

  1. First tier: Income test

     • First, the Adjusted Family Income (AFI) is calculated using the gross annual family income and the number of family members by the following formula:

       AFI=

       (Gross annual family income

       -

       Deductible medical expenses ^{(Note 1)})

       Number of family members + 1 ^{(Note 2)}

       Note:

       1.

       All the annual income of the applicant's parent(s) (spouse if the applicant is married) and 30% of the annual income of the applicant's unmarried sibling(s) residing with the applicant's family (child(ren) if the applicant is married) is counted towards the gross annual family income. Only the medical expenses incurred by the applicant and / or his / her family members who are chronically ill or permanently incapacitated are deductible from family income. Applicants should provide the relevant medical receipts for the period from 1.4.2024 to 31.3.2025. The ceiling of deduction for the 2025/26 academic year is $23,800 for each family member who is chronically ill or permanently incapacitated.

       2.

       For single-parent families of 2 to 3 members, the “plus-1 factor” in the divisor of the AFI formula will be increased to “plus-2”.

     • Second, the AFI would be compared with the AFI groups shown in the "Ready Reckoner under the "Adjusted Family Income" formula". The level of financial assistance to be offered will then be calculated by applying the corresponding percentage of maximum grant and loan.

  2. Second tier: Assets test

     • Assets test would be conducted if applicants have passed the income test. First, the Net Asset Value per Family Member is calculated by the following formula:

       Net Asset Value per Family Member =

       Total net value of the family’s fixed assets and liquid assets ^{(Note 3)}

       Number of family members

       Note:

       3.

       Including all fixed assets and liquid assets possessed by the applicant and his / her parents (spouse if the applicant is married).

       Excluding the value of the family’s first home and the assets of the applicants' grandparents and siblings.

       Debts of family members are not deductible from the total value of family assets.

     • After that, the level of financial assistance calculated from the income test will be adjusted based on the Net Asset Value per Family Member of the applicant's family by applying the corresponding discount factor of the asset group shown in the "Sliding Scale of Asset Value for Discounting Financial Assistance".