T.E.A.C.H. scholarships for employers: what sponsoring a teacher costs and returns

The four commitments behind a sponsorship — the cost share, paid release time, the bonus or raise, and the retention period — and what to price before your center signs.

Sponsoring a T.E.A.C.H. Early Childhood scholarship commits your center to four things: a cost share in a model that pays most of the cost of tuition, books and travel; paid release time for coursework, which the model often requires; a bonus or raise once the teacher completes the credit hours; and a retention commitment — the teacher stays with your program for a set period. This page walks an employer through each commitment and the terms to confirm before signing.

How sponsoring a T.E.A.C.H. scholarship works

T.E.A.C.H. is a scholarship model for the early childhood workforce, run state by state, with a national center that maintains the directory of state programs.

The model is cost-shared: the scholarship covers most of the cost of tuition, books and travel, and who carries the remainder — and in what split — is set by each state's program.

From the employer's side, the model has four moving parts.

The scholarship pays most of the tuition, books and travel.

It often requires and supports paid release time from the sponsoring employer.

It awards a bonus or raise once the recipient completes the credit hours.

And it carries a commitment requirement — the recipient stays with the sponsoring program for a specified period after receiving the bonus or raise.

Where can your center sponsor one?

The national center's directory of programs by state listed T.E.A.C.H. programs in 21 states as of October 2026: Alabama, Arkansas, Colorado, Florida, Iowa, Indiana, Maine, Michigan, Minnesota, Missouri, Nebraska, Nevada, New Hampshire, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Utah, Vermont and Wisconsin.

Two footnotes matter when you read that list.

Tennessee appears in the directory for WAGE$ only, not for a T.E.A.C.H. scholarship program.

And the directory is not the last word on scholarship aid: states that are not listed, among them Texas, Georgia and Washington, D.C., fund separate state scholarship programs — so if your state is missing, ask your state's early childhood office what exists where you are.

Sponsorship is what turns the scholarship from the teacher's financial aid into your staffing strategy.

Paid release time (often required), the cost share and the commitment period are terms your center signs onto; the return is a teacher who completed funded credit hours and is required to stay with your program while the investment pays off.

A scholarship is one rung of a wider internal ladder — our guide to the grow-your-own teacher pipeline shows where sponsorship sits beside apprenticeship and pay steps.

If your state has no T.E.A.C.H. program, registered apprenticeship is another sponsored route, with its own federal standards; our guide to registered apprenticeship for childcare employers covers what those standards require.

The employer cost share

The scholarship covers most of the cost of tuition, books and travel — most, not all.

The model is cost-shared, which means someone funds the remainder, and the cost questions do not stop at tuition: paid release time (often required) and the bonus or raise the model awards sit in the same package, and which of those costs land on your budget is a term of your state's program.

How big is the employer share?

Exact employer cost shares vary by state program, and they were not something our research verified.

So there is no single national figure to budget from — which is exactly why the split is the first thing to close before your center signs anything.

Price three things instead of one.

First, your share of tuition, books and travel, whatever your state's program sets it at.

Second, the wages you will pay while a teacher is on paid release time, because the class hours happen on your clock and the room still has to be staffed.

Third, the bonus or raise: the model awards it when the credit hours are completed, and who funds it — the program, the center, or some split — is a term to confirm in writing.

Get the split in writing before you sign. The national center describes the T.E.A.C.H. model; each state's program sets the numbers.

Ask your state's T.E.A.C.H. sponsor for the current employer cost share, what it covers, and who pays the bonus or raise — a coverage plan built on last year's split is a coverage plan with a hole in it.

Release time and the raise or bonus

Release time is the commitment with the most day-to-day impact on a center.

The model often requires and supports paid release time from the sponsoring employer: the teacher is out of the room for coursework during hours you schedule and pay for.

The scholarship pays for the education; the wages for the time out of the room, and the staffing that covers it, are on your side of the table.

Plan that coverage before the term starts, not the week before.

A center that sponsors well treats release time like any other scheduled absence it already knows how to cover — a known block on the calendar, staffed from floaters or adjusted schedules — and puts the schedule in front of the teacher and the classroom team at the start of each term.

The bonus or raise is the model's payoff mechanism: once the recipient completes the required credit hours, a bonus or raise is awarded.

It is written into the design so the completed credit hours arrive with compensation attached.

But the amount, the schedule and who funds it are your state program's terms, not national ones, and our research did not verify them — put all three questions to your state's T.E.A.C.H. sponsor.

Whatever the answers are, land the raise on your pay scale the moment the credit hours are completed — our guide to building a childcare staff pay scale shows the mechanics.

A sponsored teacher whose raise trails the completed credit hours by a season learns that the scholarship was the center's benefit, not theirs.

The retention commitment

The commitment requirement is the model's retention spine: the scholarship recipient stays in their child care setting — your program — for a specified period after receiving the bonus or raise.

You carry your costs while the teacher studies; the commitment is the model's answer to the question sponsoring centers ask, which is what comes back.

How long is the set period?

Each state's program sets it, and our research did not verify the periods state by state — ask before your center signs.

The same goes for the edge case directors ask about first: what happens if the teacher leaves before the commitment ends.

The general description of the model our research read does not answer it, and early-exit terms were not something our research verified — so put it to the sponsor directly.

Treat the commitment window as a planning input, not a guarantee.

It belongs in your staffing plan the way a fixed term would: you know the teacher you sponsored is committed to your program for the period, and you plan the next rung — and the next sponsorship — for when it ends.

What keeps people past a commitment period is the same discipline that keeps everyone; our guide to retaining childcare staff covers it.

This page is employer information, not licensing, legal or financial advice. T.E.A.C.H. terms — cost shares, release time, raises and commitment periods — are set by each state's program; confirm the current terms with your state's T.E.A.C.H. sponsor before your center commits.

Questions to put to your state's T.E.A.C.H. sponsor before your center signs

  • The employer cost share, and exactly what it covers
  • Who funds the bonus or raise, and on what schedule it pays
  • How much paid release time the program requires, and how it is scheduled
  • The length of the retention commitment, and when it starts
  • What happens if the teacher leaves before the commitment period ends
  • Which coursework and credentials your state's program currently funds

Questions employers ask

Does sponsoring a T.E.A.C.H. scholarship cost my center money?

Yes — the model is cost-shared, and exact employer cost shares vary by state program; our research found no single figure to cite. The scholarship pays most of the cost of tuition, books and travel, and paid release time is also part of the model, often required. Ask your state's T.E.A.C.H. sponsor for the current split before your center signs.

Which states have T.E.A.C.H. Early Childhood scholarship programs?

The T.E.A.C.H. National Center's directory listed T.E.A.C.H. programs in 21 states as of October 2026. Two caveats: Tennessee appears in the directory for WAGE$ only, and some states that are not listed — Texas, Georgia and Washington, D.C., for example — fund separate state scholarship programs. Ask your state's early childhood office what exists where you are.

Is the T.E.A.C.H. scholarship the same as the federal TEACH Grant?

No. The federal TEACH Grant is a federal grant whose service obligation must be served at an elementary or secondary school or educational service agency listed in the TCLI directory. It is unrelated to the T.E.A.C.H. Early Childhood scholarship, whose model sets a cost share, release time, a bonus or raise and commitment requirements for the sponsoring employer and the recipient.

What happens if a teacher leaves before the commitment period ends?

The T.E.A.C.H. model requires the recipient to stay with the sponsoring program for a set period after receiving the bonus or raise. What happens on an early exit — whether anything is repaid, whether exceptions exist — is a term the model's general description does not cover, and our research did not verify it state by state. Put the question directly to your state's T.E.A.C.H. sponsor before you sign.

More hiring resources

A sponsored teacher still needs a seat to walk into

Pair the scholarship with a posting that reaches early educators looking for programs that invest in their teachers.