Montgomery GI Bill Frequently Asked Questions

Q: What is the Montgomery GI Bill (MGIB)?

A: Also known as the Veteran's GI Bill of Right, the MGIB is the focal point of military education benefits. It's a monthly benefit for active duty and reserve service members and veterans that's valued at nearly $40,000. It was created in 1944 when President Franklin Roosevelt signed the then termed Servicemen's Readjustment Act.

Q: Who is eligible to earn GI Bill funds?

A: Generally speaking, you can qualify to earn funds if you have served at least 2 years on active duty, if you have graduated high school or possess an equivalency certificate before you apply for benefits, and if you contribute $100 a month for the first 12 months you are in active duty. However, your eligibility and the amount of money for which you qualify depends on a number of distinct factors. For details on eligibility, please visit GIBill.com or the VA.

Q: How much money can I earn under the VA GI Bill?

A: The education benefit for the Veteran' GI Bill can be worth over $47,556. This amount is based on the 2008-2009 monthly full-time student payment rate of $1,321 with a 36-month limit. This means you should have 8 semesters of coverage to satisfy your academic pursuits. The payment rate automatically increases on the first of October each year.

Q: What can MGIB money be used for?

A: Sponsored by the U.S. Department of Veterans Affairs, this tax-free benefit can be used for any expenses related to education or training while earning a graduate or undergraduate degree, professional and trade school certification, or attending flight school. Such covered expenses can include--but are not limited to--tuition and fees, books, and relocation and living expenses.

Q: When should I use my GI Bill benefits?

A: Your benefits are eligible for use after 2 years of service. However, it makes more sense to save your money and use it after you've completed active duty simply because the U.S. Department of Veterans Affairs applies the GI Bill differently for active duty and veteran service members. You should only use them during active duty as "GI Bill Top-up" benefit in conjuction with your active duty Tuition Assistance benefit.

Q: Can I transfer my MGI Bill benefits to a spouse or dependent?

A: Although the Department of Defense created an MGIB transferability option in 2002, its implementation was up to the various service branches. Only the Air Force and the Army ever offered this option (in 2003 and 2006 respectively), and both of those programs were eliminated due to low rates of participation. No service branches currently allow MGIB recipients to transfer benefits.

Q: What other benefits are available through the new "Post-9/11 GI Bill?"

A: The new educational benefits for service members completing 90 or more days of active duty since Sept. 10, 2001 include 100 percent tuition and fee coverage, a monthly housing stipend, a book stipend, benefits transfer opportunities, a relocation allowance, the Yellow Ribbon Program, and licensing and certification exams.

Q: How do I apply for the Montgomery GI Bill?

A: Find a school that offers VA-approved education and training programs. Complete the Application for Education Benefits, VA Form 22-1990. Send in your application to the VA Regional Processing Office. Once your benefits checks begin arriving, complete the VA's Web Automated Verification of Eligibility (WAVE) process to continue to receive them.