Out-of-State Students: How to Pay In-State Tuition at Texas Public Universities
Why Out-of-State Tuition Costs More
Out-of-state students typically pay 2-3x more than Texas residents at public universities. At UT Austin, for example, in-state students pay around $11,000/year while out-of-state students pay $39,000/year—a difference of $28,000 annually or $112,000 over four years.
This pricing gap exists because Texas taxpayers subsidize in-state tuition for residents. But there's a legal pathway that allows non-residents to access these lower rates.
The Texas Competitive Scholarship Waiver (TEC 54.213)
Texas Education Code Section 54.213 allows public universities to waive the out-of-state tuition surcharge for students who receive competitive scholarships of $1,000 or more per year.
This isn't a loophole—it's an official state policy designed to attract high-achieving students to Texas universities.
How It Works
- You apply to a Texas public university as an out-of-state or international student
- The university awards you an automatic merit scholarship based on your GPA and SAT/ACT scores
- If the scholarship is $1,000+ per year, you automatically qualify for in-state tuition
- Your tuition drops from the out-of-state rate to the in-state rate—saving you thousands
Important: The scholarship must be "competitive" (merit-based), not need-based financial aid.
Get matched with universities where you qualify →
Why $1,000+ Matters
The $1,000 threshold is the legal minimum under TEC 54.213. Many universities offer scholarships ranging from $1,000 to $8,000+ per year, all of which trigger the waiver.
Example savings at major Texas universities:
| University | Out-of-State Tuition | In-State Tuition | Annual Savings | 4-Year Savings | |------------|---------------------|------------------|----------------|----------------| | UT Austin | $39,334 | $11,000 | $28,334 | $113,336 | | Texas A&M | $40,000 | $17,000 | $23,000 | $92,000 | | UT Dallas | $28,000 | $14,000 | $14,000 | $56,000 | | Angelo State | $18,000 | $9,000 | $9,000 | $36,000 |
Even at smaller regional universities, you can save $36,000-$60,000 over four years.
Real University Examples
University of Texas at Austin
- Minimum GPA: 3.7+
- Minimum SAT: 1400+ (or ACT 31+)
- Automatic scholarship: $8,000/year
- Annual savings: $28,334
Texas State University
- Minimum GPA: 3.3+
- Minimum SAT: 1150+ (or ACT 25+)
- Automatic scholarship: $2,000/year
- Annual savings: $11,000
Angelo State University
- Minimum GPA: 3.5+
- Minimum SAT: 1200+ (or ACT 25+)
- Automatic scholarship: $2,000/year
- Annual savings: $9,000
Browse all 13 participating universities →
Step-by-Step: How to Qualify
Step 1: Check Your Academic Profile
You need competitive academic credentials:
- GPA: Typically 3.3-3.7+ (varies by university)
- SAT: 1150-1400+ (or equivalent ACT score)
- Coursework: Strong college-prep curriculum
Use our free calculator to check eligibility →
Step 2: Apply to Texas Public Universities
Apply through the standard admissions process:
- Common App or ApplyTexas
- Submit transcripts and test scores
- No separate scholarship application needed—merit scholarships are awarded automatically upon admission
Step 3: Receive Your Scholarship Offer
If you meet the academic thresholds, the university will include the scholarship in your admission offer letter. Look for:
- Scholarship name (e.g., "Academic Excellence Scholarship")
- Award amount (must be $1,000+ per year)
- Confirmation that it qualifies for the tuition waiver
Step 4: Accept and Enroll
Once you accept admission and the scholarship, your tuition is automatically billed at the in-state rate. You don't need to file additional paperwork—the university handles it.
Get matched with universities where you qualify →
Frequently Asked Questions
Can international students qualify?
Yes! The Texas Competitive Scholarship Waiver applies to both out-of-state domestic students and international students. As long as you receive a qualifying scholarship, you pay in-state tuition regardless of citizenship.
Do I need to maintain the scholarship each year?
Yes. Most scholarships require you to maintain a minimum GPA (typically 3.0-3.25) to renew each year. As long as you keep the scholarship, you keep the in-state tuition rate.
Can I stack this with other scholarships?
Yes. The $1,000 competitive scholarship triggers the waiver, but you can receive additional scholarships on top of it. Many students combine multiple awards to reduce their net cost even further.
Does this work at private universities?
No. The Texas Competitive Scholarship Waiver (TEC 54.213) only applies to public universities in Texas. Private schools like Rice, SMU, and TCU set their own tuition policies.
What if I'm a transfer student?
Transfer students can also qualify! Universities evaluate your college GPA and credits. Typical thresholds are:
- GPA: 3.5+ from your current college
- Credits: 12-15 transferable credits
- Some universities also consider high school records
See which universities accept transfers →
How do I know which universities participate?
We've compiled a list of 13 Texas public universities that actively offer automatic scholarships under this program. Browse the full list here →
Important Disclaimers
- Scholarship thresholds change: Universities adjust their requirements annually based on enrollment goals. The thresholds listed here are examples and may not reflect current offers.
- Not guaranteed: Meeting the minimum GPA/SAT doesn't guarantee admission or a scholarship—universities consider your full application.
- Verify with the university: Always confirm scholarship details and waiver eligibility directly with the admissions office before making enrollment decisions.
Read the full scholarship rules and legal framework →
Ready to Find Your Match?
We've helped hundreds of out-of-state students identify Texas universities where they qualify for in-state tuition. Our free matching tool takes 2 minutes and shows you:
✓ Which universities you qualify for based on your GPA and test scores
✓ Estimated annual savings at each school
✓ Scholarship thresholds and automatic award amounts
✓ Application deadlines and next steps
About Tuition Saver AI: We help out-of-state and international students navigate the Texas Competitive Scholarship Waiver program. Our platform is free for students—we earn revenue by connecting universities with qualified applicants. Learn more about how we make money →