Posts Tagged ‘Montgomery GI Bill’

Yes Ashley, you can switch to the Post 9/11 GI Bill and not lose money. As a matter-of-fact, you can switch and get some of your Montgomery GI Bill contribution back once you use up all of your transferred Post 9/11 GI Bill benefits. More on that in a minute.

The Post 9/11 GI Bill’s pay structure is different from the Montgomery GI Bill (MGIB). As you know, the MGIB pays you a fixed amount per month and you have to pay all your own tuition and education expenses. With the Post 9/11 GI Bill, the VA pays your tuition directly to the school and you get a monthly housing allowance and a book stipend once per semester (up to the $1,000 per year limit). Many times just the monthly housing allowance alone is as much or more than what you get from the MGIB.

Because you have served 5 years, you are already eligible for 100% of the Post 9/11 GI Bill. Even though you used Top-Up for just one class, you have most of your benefits left. If you switch right now, you will get the same number of months of under the Post 9/11 GI Bill. Just so you know, if you use up your MGIB benefits first, then you could get an additional 12 months of Post 9/11 GI Bill.

Only you know for sure which GI Bill is for you. Oh, one more thing – your $1,200 MGIB contribution? If you switch and once you have used up all your remaining benefits, you will get a prorated amount of your contribution back. The VA divides the $1,200 by your 36 months of benefits and multiplies that amount by how many months of benefits you converted to the Post 9/11 GI Bill. You get your contribution rebate included with your last housing allowance payment.

Kelley, once you have three years in, so that you have 100% eligibility, most likely the Post 9/11 GI Bill would be your best bet. Under the Montgomery GI Bill (MGIB), you get a fixed amount of $1,473 per month, if you go to school full-time, and you have to pay all your own education expenses. If you use the Post 9/11 GI Bill, the VA pays your tuition and you get a monthly housing allowance (which many times is equal to or higher than your MGIB payment). Plus, once each semester, you get a book stipend paid at $41.67 per credit (up to the $1,000 yearly cap).

And yes, there is a way to get your $1,200 MGIB contribution back. Switch from the MGIB to the Post 9/11 GI Bill with all 36 months of MGIB benefits intact, and once you use up all 36 months under the Post 9/11 GI Bill, you get your $1,200 back as part of your final housing allowance.

Of course, the other thing you could do is use up all 36 months of your MGIB and then switch to the Post 9/11 GI Bill and get an additional 12 months of education benefits. So it depends on whether the money or extra year of benefits is the most important to you.

Yes you can switch even though you are retired David. What you can’t do after retiring is transfer Post 9/11 GI Bill benefits to your spouse of dependent. However, there is a petition circulating that is trying to change that.

As far as switching, there are a couple of ways of doing it. One, you can transfer your 32 months of Montgomery GI Bill (MGIB) you have left and get 32 months of Post 9/1 GI Bill entitlement. Or you can use up your 32 months of MGIB, switch and get an additional 12 months of Post 9/11 GI Bill benefits.

One thing to note, if you switch to the Post 9/11 GI Bill with 32 months of MGIB left, you will get back approximately $1,067 of your original $1,200 contribution. It will come as part of your last housing allowance.

Whether you want to switch or not will be somewhat dependent on your educational goals. If you plan to get a four-year degree, switching now may be a good idea. If you will need the additional 12 months, then you might want to stick with the MGIB for now.

If you decide to switch, you will need to submit VA Form 22-1990 from the eBenefits website. In return you will get your Certificate of Eligibility that you will need when enrolling in school.