The Wal-Mart Foundation's endowed scholarship is awarded annually by PDK International to a prospective educator from the state of the Wal-Mart/PDK Teacher of the Year. Applications are reviewed and recipients selected by the PDK prospective educator scholarship selection committee.

The Wal-Mart Foundation Scholarship was established in 2004 as part of a partnership that began in 2002 between PDK and the Wal-Mart Foundation to recognize and reward outstanding teachers at the local, state, and national levels. Each year local Wal-Mart and Sam's Club stores identify a local winner and provide a financial award to the winner's school. The local Teacher of the Year receives a $1000 educational grant to benefit their local school. Local winners are then eligible for state competition, and this is where the partnership with PDK begins.

PDK chapters and members serve on state selection committees to identify a winner in each state. Kappans also assist with award presentations to the state recipients. State winners receive a one-year membership to Phi Delta Kappa and an additional $10,000 educational grant for their schools. State winners are automatically entered in the national competition.

Finally, a committee of past national recipients and Kappans is convened by PDK to select the national winner. The National Teacher of the Year receives an additional $25,000 educational grant for a total of $36,000 to his or her school.

The Wal-Mart Teacher of the Year program is one of the largest teacher recognition programs in the country. Since its inception in 1995, the program has recognized more than 25,000 teachers in the U.S. and Puerto Rico and contributed more than $19 million to those schools. PDK's expertise in the field of education is an important part of the program's success.