Legal basis and policy intent
- Republic Act No. 9257 provides a twenty percent (20%) Senior Citizens Discount on the purchase of food, drinks (including coffee and other beverages), desserts, and other consumable items served by establishments.
- Republic Act No. 9257 grants Senior Citizens a 20% discount from all establishments relative to the purchase of food in restaurants, as long as it is for the exclusive use and enjoyment of senior citizens.
- The Implementing Rules and Regulations of Republic Act No. 9257 state that the discount covers purchases of food, drinks, dessert, and other consumable items served by the establishments, including value meals and promotional meals offered for consumption by the general public.
- Section 4, Article 7, Rule V of the IRR provides that the 20% discount applies, regardless of the amount, to all prices of goods and services offered to the general public by covered establishments, irrespective of classification (including dine-in, take-out, drive-thru, and delivery).
- The Resolution treats “exclusive use and enjoyment” as the sole criterion for restaurant discount eligibility, and it clarifies what that phrase means for purposes of compliance.
Core definitions and eligibility meaning
- The phrase “exclusive use and enjoyment” means “for the senior citizen’s personal consumption only.”
- The “personal consumption” meaning is used as the controlling standard for determining whether the purchase is entitled to the discount, particularly for take-out, take-home, drive-thru, and delivery orders.
Covered establishments and covered transactions
- The 20% Senior Citizens discount applies to purchases of food items and other consumable items served by establishments, including value meals and promotional meals offered for consumption by the general public.
- The discount applies to different service classifications: dine-in, take-out, drive-thru, and delivery, for covered transactions.
- The discount applies to purchases made for personal consumption of Senior Citizens at the time of purchase and subject to presentation of the required Senior Citizens identification.
- The discount also applies to credit card payments for covered purchases, because refusal to grant the discount on credit card payments is declared violative.
Acts declared violative of RA 9257
- Pegging a maximum amount of food purchase subject to the 20% discount and/or posting a notice to that effect is declared violative of Republic Act No. 9257.
- Refusal to grant the 20% discount on value, budget, and promotional meals is declared violative of Republic Act No. 9257.
- Refusal to grant the 20% discount on take-out/take-home/drive-thru orders is declared violative when it appears that the purchase is for the exclusive use and enjoyment of senior citizens (i.e., personal consumption only).
- Refusal to grant a discount on credit card payments is declared violative of Republic Act No. 9257.
- Refusal to grant 20% discount on delivery orders is declared violative when it appears that the purchase is for the exclusive use and enjoyment of senior citizens (i.e., personal consumption only).
Discount computation and operational guidelines
- For orders where Senior Citizens eat/order in the company of others, the total bill must be divided according to the number of people to determine actual consumption of the individual Senior Citizen entitled to the 20% discount, using this computation framework:
- Individual Consumption × 20% of a Senior Citizen w/ ID = (Total Billing Amount ÷ No. of Customers)
- If the group is composed of elderly persons with valid Senior Citizens ID, each elderly person in the group is entitled to a 20% discount.
- For package promo orders (e.g., pizzas or chicken bucket meals) good for a “4 to 5 people,” the total bill must be divided by the lesser number of “4” so that the basis for the 20% discount becomes a bigger amount.
- The 20% discount applies to Take-Out/Take-Home/Drive-Thru orders as long as the Senior Citizen is the one who is present and personally ordering, and the Senior Citizen can show a valid Senior Citizens ID card.
- For Delivery Orders, the 20% discount applies subject to conditions requiring identity verification:
- The Senior Citizens ID card NUMBER must be given while making the order over the phone; and
- The Senior Citizens ID card must be presented upon delivery to verify the Senior Citizen entitled to the discount.
- For take-out, take home, and drive-thru orders where it is difficult to ascertain whether the purchase will be consumed by the Senior Citizen, the discount basis must be determined using either:
- the actual total price if it is less than the Most Expensive Meal Combination (MEMC); or
- the MEMC if the actual total price is equal to or greater than the MEMC.
- The full 20% senior citizens discount must be granted on all Dine-In food purchases provided the purchase is for the Senior Citizen’s exclusive consumption at the time of purchase and upon presentation of the necessary Senior Citizens identification requirements.
- The 20% senior citizens discount does not apply to “kiddie meals” primarily prepared and intentionally marketed for children.
- The 20% senior citizens discount does not apply to pre-contracted party packages or bulk orders.
Dissemination, implementation, and coordination
- The discount privileges for Senior Citizens from restaurants and food establishments must be disseminated and posted using the attached simplified notice.
- Copies of DSWD Resolution No. 3-2009 must be furnished to DTI, DILG, FSCAP, and OSCA.