The Post-9/11 GI Bill and the Montgomery GI Bill

Two Great Educational Benefits for Veterans

Aug 1, 2009 Christopher Pascale

As the next semester nears, many veterans are curious about the new GI Bill and how it compares to the old one.

The Montgomery GI Bill was introduced in 1944 to assist veterans returning from World War II. It was the largest educational assistance program for veterans that had ever been introduced at that time. And, until recently, it still had been.

The Post-9/11 GI Bill goes into effect today. There are distinct differences between the two programs, and, in many ways, the new one is far superior.

The Montgomery GI Bill

The Montgomery GI Bill allows veterans to pay between $1,200 and $1,800 into a program that will give more than $30,000 back. Investment returns over just a couple years like this are hard to find.

When a veteran attends a school or job training program, he can access his Montgomery GI Bill and receive a monthly deposit based on how many credits are being taken. Full time students that had invested $1,800 into the program are currently receiving $1,471 every month. This money can be used to pay for tuition costs, books, groceries, rent, veterinarian bills- however far that it can be stretched, it should.

The Post-9/11 GI Bill

The Post-9/11 GI Bill does not have to be paid into. It is simply a benefit for military service. Those who serve three years or more receive 100% of the benefits over 36 months while those who serve less and are discharged honorably receive a lower percentage.

The Post-9/11 GI Bill pays up to the highest in-state tuition of the most expensive state school. So, if a student decides to attend a private university that costs $35,000 and the highest state school in the same state as that university costs $11,000, then the student would be required to make up the difference of $24,000 a year.

In addition to paying tuition costs, veterans will receive a $1,000 annual stipend for books as well as the equivalent housing allowance that sergeants (E-5) would receive while living in the zip code the school is located in. For example, if a veteran attended North Carolina State University in Raleigh, he would receive $1,102 plus have all tuition paid for while receiving extra assistance for textbooks.

The New GI Bill Has One More Perk That Should Not be Overlooked

While both of these programs are very good, the new GI Bill is transferable. This means that spouses and children are eligible to use it so long as they do so within 15 years of the service member's discharge.

Both of these educational programs are fantastic. With current tuition costs, the new GI Bill could very well be the answer that many veterans have been looking for when it comes to their rising school costs, or those of their children.

Sources

Wise, Lindsay. "New GI Bill Answer to Veteran's Dreams". Houston Chronicle.

VA Pamphlet. Post-9/11 Veterans Educational Assistance Act of 2008.

"Basic Allowance for Housing". dod.mil

The copyright of the article The Post-9/11 GI Bill and the Montgomery GI Bill in Consumer Education is owned by Christopher Pascale. Permission to republish The Post-9/11 GI Bill and the Montgomery GI Bill in print or online must be granted by the author in writing.

Vets Can Enjoy College Without Financial Strain	School Will be Even Better With the New GI Bill	Tuition: $50k; Books: $4k; No Loans: Priceless
No Student Loans = More Choices Later