Picks up from that point in the first season's story wherein the lead character Pepito (portrayed by Michael V) wins the jackpot in a lottery. After his luck changed his and his family's life from rags to riches, a television network executive approaches Pepito and comes up with the idea of retelling their story in a TV series. However, Pepito won't like the treatment of the TV show. He thinks that much of the story has been played up or exaggerated. He wanted a more realistic portrayal of his family's story. The TV executive will draw up an alternative proposal: the TV show will be redone but this time, it will be a reality show. The cameras will be documenting Pepito and his family's every day life.
The "reality show" treatment of the new season of Pepito Manaloto is what sets it apart from the previous one, which was basically more of a situation comedy (SitCom). As Michael V himself describes it, Pepito Manaloto: Ang Tunay na Kuwento is a "real-life documentary of a fictional family."
The show also stars Manilyn Reynes as Elsa Manaloto, Angel Satsumi as Clarissa Manaloto and Jake Vargas as Chito Manaloto.
Playing equally important roles are John Feir as Patrick, Ronnie Henares as Tommy, Mosang as Baby, Janna Dominguez as Maria, and Arthur Solinap as Robert. Completing the cast are the new characters who will make the lives of the Manaloto family more interesting - Jessa Zaragoza as Deedee and Nova Villa as Mimi.