Can You Explain The Chapter 33 Tier Formula?

Answer:
Hi Richard.  I’m not sure I totally understand your question, but I’ll answer what I think you are asking about the Chapter 33 GI Bill tier program. I can’t tell from your question if you are talking about a state-supported public school or a private school – it makes a difference. You are right when you say your tier multiplied by the in-state tuition, but in-state tuition varies.

At a public school, your tuition will be whatever the school charges for tuition, which will be  less than or equal to the highest tuition charged by a public school in that state. In your case, the VA will pay the school 80% of the tuition the school charges.

If you are talking about a private school, then your tuition may be higher than the highest tuition charged by a public school in that state.  In your case, the VA will pay 80% of the highest state-supported tuition.  The amount the VA did not pay would be your responsibility to pay. If you have a service-connected disability, you may be eligible for the Yellow Ribbon Program.

If your school has a Yellow Ribbon Agreement with the VA, then your school can pay up to half of the amount over  the highest instate tuition that the VA did not pay and the VA would pay an equal amount. 

You will have to check with your school to see:

• if they are a Yellow Ribbon School;
• how much they will pay according to their Yellow Ribbon Agreement with the VA.

If you qualify for the program and they are a Yellow Ribbon School, this should significantly bring down the amount left that you would have to pay. If they are not in the Yellow Ribbon Program or you don’t qualify, then you will have to pay the difference between what the school charges and what the VA pays. I hope this answered your question.