Despite widespread bench terracing of rainfed hillsides in upland West Java, soil loss rates remain high. This paper reports measurements of sediment yield from terrace risers and beds and from terrace units made during three consecutive rainy seasons. The results demonstrate that soil loss from the terraces occurs in two stages: rainfall-driven transport by splash and shallow overland flow (wash) from the terrace riser and bed to a central drain is followed by a combination of onward wash transport of fine sediment and entrainment by runoff of coarser sediment deposited in the drain. A model (TEST: Terrace Erosion and Sediment Transport) was developed, describing these processes as a function of vegetation and soil surface cover and the presence of a layer of deposited sediment. The model was calibrated using some of the measured sediment yield data and subsequently tested by simulating the remaining data. The results were satisfactory and modelled fractions of sediment transported by splash, wash and flow-driven runoff transport generally compared well with observed fractions of fine and coarse particles in eroded sediment from the various plots.