Category: GI Bill

There are many ways to use military benefits to pay for higher education. You may attend school using the GI Bill, Veteran Readiness and Employment, and in some cases, the Survivors’ and Dependents’ Educational Assistance (DEA) and qualify for in-state tuition rates even if you live out of state at school selection time.

In-state tuition rates are not guaranteed for all military and family members using the GI Bill or other benefits. Much could depend on where you choose to live after school begins.

That said, something called the Veterans Choice Act gives those using qualifying military education benefits some added flexibility.

What follows applies to veterans and their families. Rules in the Veterans Choice Act that affect college state residency requirements do not apply to active duty members or those currently active in the Guard or Reserve.

In-State Versus Out-of-State Tuition

College students are typically charged in-state tuition rates if they are residents of the state the college is located in. In-state tuition is traditionally lower than out-of-state tuition rates. Some states may require students to show proof of residency to qualify for in-state rates.

To continue qualifying for in-state tuition, expect a requirement to live in the state where you attend classes once your coursework begins. Not all states have the same rules but this is fairly consistent.

VA.gov notes that Section 702 of the Veterans Choice Act requires schools to offer in-state tuition to those using GI Bill or other approved programs or risk losing VA support.

Will I Be Charged In-State Tuition When Using the GI Bill?

The Department of Veterans Affairs official site states, “If you’re covered under a GI Bill program or the Veteran Readiness and Employment (VR&E) program, you may be able to get in-state tuition rates at a public school even if you haven’t lived in the state where the school is located.”

This is made possible under the Veterans Choice Act. Basic eligibility includes the following requirements:

• You are paid benefits under the Post-9/11 GI Bill, the Montgomery GI Bill Active Duty (MGIB-AD), or Veteran Readiness and Employment (VR&E);
• You’re a “covered individual” (see below);
• You will live in the state where the school is located when you start your classes.

Related: How to Transfer the Post-9/11 GI Bill to a Spouse or Dependent

What Does “Covered Individual” Mean?

• For veterans, being a “covered individual” applies to those who served on active duty for at least 90 days since September 10, 2001.
• For spouses and dependents, a covered individual uses transferred GI BIll education benefits or the Fry Scholarship when the veteran served on active duty 90 days before death.
• You are also considered a covered individual if you attend school using benefits through the Survivors’ and Dependents’ Educational Assistance (DEA) program.

Can I Lose My Covered Individual Status?

Yes. If you attend school and leave only to re-enroll later, you will not retain covered individual status. VA.gov lists no exceptions other than the normal breaks between courses, semesters, etc.

Can My School Demand Proof of Residency?

Yes. Residency rules are not standardized, and your experience may vary depending on the school, the state, and other variables. VA.gov advises that some states require you to prove your intent to become a resident.

“You may be asked to show that you’re in the process of claiming legal residency by registering to vote, getting a state ID, or getting a state driver’s license.”\

VA.gov also says you may be able to qualify for in-state tuition while you are establishing legal residency. You may be asked to meet one of the following requirements:

• You must live in the same state as your school or;
• You must live in the state as your school and prove intent to become a resident; or
• You must live in the state where your school is located, prove intent to become a resident and do so within the required time.

Related: GI Bill Guide

Is the GI Bill offered to members of the National Guard and the Reserve? Qualifying for the GI Bill means serving a minimum time in uniform.

If you meet those requirements, depending on when you joined and the type of military service you performed, you may qualify for the Montgomery GI Bill or the Post-9/11 GI Bill.

Members of the National Guard and the Reserve may qualify for either program and in some cases BOTH programs, but you must commit to one or the other before being approved to use the GI Bill.

Am I Eligible for the Post-9/11 GI Bill?

You may be eligible for the GI Bill if at least one of the following applies according to VA.gov:

• You served at least 90 days on active duty on or after September 11, 2001;
• You received a Purple Heart on or after September 11, 2001, and have an Honorable discharge;
• You served for at least 30 continuous days on or after September 11, 2001, and were honorably discharged with a service-connected disability;
• You’re a dependent child using transferred GI BIll benefits.
• You are a reservist who lost benefits when the Reserve Educational Assistance Program (REAP) and qualify for restored benefits under the Post-9/11 GI Bill.

Did you become eligible for both GI Bills? VA.gov reminds, “If you’re a member of the National Guard or Reserve using the Montgomery GI Bill Selected Reserve (MGIB-SR or Chapter 1606) and you decide to use the Post-9/11 GI Bill, you can’t switch at some later date to use a different VA education benefit.”

The Post-9/11 GI Bill features money for tuition, books, and a housing stipend paid based on the zip code where you attend most of your classes. Those who attend online are paid a reduced stipend, as are those who attend in-person and online.

Related; Transferring Your GI Bill to a Spouse or Dependents

Am I Eligible for the Montgomery GI Bill Active-Duty (MGIB-AD)?

Don’t let the phrase “active duty” fool you into skipping past this section, as VA.gov lists several qualifying circumstances that allow members of the Selected Reserve (National Guard and Reserve) to qualify for the MGIB-AD. Multiple categories may qualify:

Category I

• You have a high school diploma, GED, or 12 hours of college credit;
• You entered active duty for the first time after June 30, 1985;
• You had your military pay reduced by $100 a month for the first 12 months of service;
• And you’ve served continuously for 4 years if you entered the Selected Reserve within a year of leaving active duty.

Category II

• You have a high school diploma, GED, or 12 hours of college credit,;
• You entered active duty before January 1, 1977 (or before January 2, 1978, under a delayed enlistment program contracted before January 1, 1977);
• You served at least 1 day between October 19, 1984, and June 30, 1985, and stayed on active duty through June 30, 1988, or through June 30, 1987, if you entered the Selected Reserve within 1 year of leaving active duty and served 4 years);
• You had at least 1 day of entitlement left under the Vietnam Era GI Bill as of December 31, 1989.

Category III

• You have a high school diploma, GED, or 12 hours of college credit, and
• You don’t qualify for MGIB under categories I or II, and
• You had your military pay reduced by $1,200 before separation

• You were on active duty on September 30, 1990, and involuntarily separated after February 2, 1991, or;
• You involuntarily separated on or after November 30, 1993, or;
• You chose to voluntarily separate under either the Voluntary Separation Incentive (VSI) program or the Special Separation Benefit (SSB) program.

Category IV

• You have a high school diploma, GED, or 12 hours of college credit, and
• You had military pay reduced by $100 a month for 12 months or made a $1,200 lump-sum contribution (meaning you paid it all at once)

• You were on active duty on October 9, 1996, had money left in a VEAP account on that date, and chose MGIB before October 9, 1997, or
• You entered full-time National Guard duty under title 32, USC, between July 1, 1985, and November 28, 1989, and chose MGIB between October 9, 1996, and July 9, 1997.

Related: National Guard and Reserve Tuition Assistance

Am I Eligible for Montgomery GI Bill Selected Reserve?

You may be eligible for the Montgomery GI Bill Selected Reserve if the following are true:

• You have a 6-year service obligation in the Selected Reserve, or
• You’re an officer in the Selected Reserve and agreed to serve 6 additional years.
• Your obligation must have started after June 30, 1985, or after September 30, 1990, in some cases.

• You completed your initial active duty for training (IADT), and
• You earned a high school diploma or equivalent before finishing IADT and
• You stay in good standing while serving in an active Selected Reserve unit

GI Bill benefits aren’t the only ones available; you may also qualify for Military Tuition Assistance from the Guard/Reserve, though not all branches of service offer the benefit to reserve component members. Be sure to ask your unit orderly room or command support staff about your options.

Both MGIB-AD and MGIB Selected Reserve feature money for tuition plus books. A housing allowance is NOT offered through the Montgomery GI Bill program.

Related: Which GI Bill is Better?

Compare Your GI Bill Options

Before committing to a school or an academic program, it’s smart to use the GI Bill Comparison Tool on the VA official site to review your benefit options and see which schools or programs are VA-approved. Use the GI Bill Comparison Tool

If you have never used your GI Bill benefits before, you won’t need to ask how much GI Bill you have left, but those who have used the GI Bill and are starting a new semester need to know how much of the benefit remains.

In some cases, they may also need to know how much time they have left to use the GI Bill before it expires.

Finding instructions on how to check your GI Bill entitlement for the Post-9/11 GI Bill is easy. But finding information on checking your Montgomery GI Bill entitlement is trickier to locate.

How Much Montgomery GI Bill Do I Have Left?

If you have applied for and have used the Montgomery GI Bill and need to check how much remains for you to use, you can request an award letter from the VA showing the most current information, or you may contact the Department of Veterans Affairs at:

• Ask VA (AVA) to ask a question online
• Call 1-888-GIBILL-1 (1-888-442-4551)
• For TDD/TTY use 711

Related: Using eBenefits to Manage Your GI Bill Benefits

How Much Post-9/11 GI Bill Do I Have Left?

You can go online to check your GI Bill Statement of Benefits. That document will show you how much of your benefits you’ve used and how much you have left to use. You’ll sign in using one of the following:

• Login.gov
• ID.me
• DS Logon
• My HealtheVet

If you do not have a login for any of the above, you can create a free Login.gov or ID.me account. You cannot use these resources 24/7; according to VA.gov the operating hours are typically 6:00 a.m. to 10:00 p.m. (Eastern Standard Time) during the week.

Related: Post-9/11 GI Bill Recipients Must Verify Enrollment

Who is Eligible to Create an Account

You may be eligible to use this tool as a service member. Family members are not allowed to create an account. According to VA.gov, family members must “request a copy of your education decision letter by mail to check your GI Bill benefit status.”

When You Log In

Look for your Post-9/11 GI Bill Statement of Benefits, and you’ll find detailed information about how much has been used to date and how much remains to use. You will also see if there is a time limit on using your benefit.

Common Problems Accessing a GI Bill Statement of Benefits

Are you having trouble accessing your Statement of GI Bill Benefits? VA.gov says there are some common issues. One of the most common? The name on the account you’re signed in with “doesn’t exactly match the name we have in our Post-9/11 GI Bill records.” Other problems include but may not be limited to:

• The VA may be processing your GI Bill application; a record may be in progress but not ready yet. VA typically takes 30 days to process an application.
• Those who have applied less than 30 days before checking may need to wait longer before checking again.
• The applicant has not applied for Post-9/11 GI Bill education benefits yet.
• The applicant is not eligible for the Post-9/11 GI Bill.
• The applicant tries to log on outside regular operating hours (see above.)

Call the GI Bill Hotline at 888-442-4551 (TTY: 711) if you need assistance with these or other issues.

Which GI Bill is better? There is no single answer to this question, as much depends on the student’s needs, circumstances, and educational goals. It’s better to compare GI Bill programs and options side-by-side to see which features are most important to you.

Read more: GI Bill Information and Benefits

Which GI Bill Is Better? Minimum Military Service Requirements

Post-9/11 GI Bill

VA.gov states to qualify for the Post-9/11 GI Bill, you must serve 90 days on active duty or “aggregate service after 9/10/01. Those who serve 30 days may qualify if they were discharged for a service-connected disability.

Montgomery GI Bill Active Duty (MGIB-AD)

In general, the following may apply to those who joined the service under older guidelines, but today’s new recruits cannot sign up for the Montgomery GI Bill for Active Duty. Instead, new troops are offered the Post-9/11 GI Bill. In the past, you may have qualified with the following minimum service:

• • 2 years of continuous service in a 3-year service contract or;
  • 3 years of continuous service for a 4-year contract or;
  • Separated due to a Service-Connected Disability after 30 days.

Montgomery GI Bill Selected Reserve (MGIB-SR)

You may qualify for the MGIB-SR if you have a 6-year service commitment.

Duration of GI Bill Benefits

Post-9/11 GI Bill

36 months unless the veteran has GI Bill entitlement transferred from another family member. In those circumstances, the veteran may qualify for the amount of the transferred entitlement plus the 36 months they qualify for without the transfer.

Other exceptions may also apply. VA.gov advises, “You may receive a maximum of 48 months of benefits combined if you are eligible for more than one VA education program.”

Read more: GI Bill Application Guide for Active Duty and Veterans

Montgomery GI Bill Active Duty (MGIB-AD)

36 months or less. Those who do not complete their full military commitment “as a result of special Separation reasons” may “result in receiving less,” according to VA.gov. VA.gov advises, “You may receive a maximum of 48 months of benefits combined if you are eligible for more than one VA education program.”

Montgomery GI Bill Selected Reserve (MGIB-SR)

36 months. VA.gov advises, “You may receive a maximum of 48 months of benefits combined if you are eligible for more than one VA education program.”

Expiration Date of GI Bill Benefits

Post-9/11 GI Bill

15 years from the student’s “last release” from active duty if that occurred before January 1, 2013. VA.gov says if the last release from active duty “was on or after January 1, 2013, the veteran falls under the Forever GI Bill law ending the time limitation to use Post-9/11 benefits. For spouses and dependents using transferred GI Bill benefits, “beneficiaries may be limited by the date the Veteran chooses to have entitlements terminated.”

Montgomery GI Bill Active Duty (MGIB-AD)

10 years from the student’s last day on active duty.

Montgomery GI Bill Selected Reserve (MGIB-SR)

This benefit ends “on the day the Member separated from the Selected Reserve Component or when VA is notified of any Suspension imposed by the Service Component.”

Read more: Transfer Your Post-9/11 GI Bill Benefits to Spouse and Dependents

Which GI Bill Is Best? Housing Stipend (GI Bill BAH)

Post-9/11 GI Bill

The Post-9/11 GI Bill housing stipend is paid for those attending greater than half-time training “comparable to the AD Basic Allowance for Housing (BAH) pay for an E-5 with Dependents.” VA.gov says there is a maximum “of one-half MHA Rate paid if 100% of classes are enrolled online.”

Montgomery GI Bill Active Duty (MGIB-AD)

No housing stipend.

Montgomery GI Bill Selected Reserve (MGIB-SR)

No housing stipend.

GI Bill Benefit Payments

Post-9/11 GI Bill

Tuition and fees are paid directly to the school with an option to use the Yellow Ribbon program where available “to pay ½ of the difference in (tuition and fee) charges that exceed the annual year cap. There are also options for vocational schools and correspondence schools.

Montgomery GI Bill Active Duty (MGIB-AD)

A “statutory rate” is paid directly to the student, and rates are subject to change from year to year. To continue receiving this benefit, students must verify enrollment every month using the Web Automated Verification of Enrollment. Payments are on a scale based on the amount of enrollment–full-time, half-time, etc.

Montgomery GI Bill Selected Reserve (MGIB-SR)

Benefits are paid directly to students, with rates subject to change from year to year. To continue receiving the GI Bill, students must Certify via Web Automated Verification of Enrollment. The benefit is paid based on the amount of enrollment.

Which GI Bill Is Better? Other Benefits

No matter which version of the GI Bill you have, you may be able to apply for VA education benefits for the following:

• Degree training
• Non-degree training
• Work-Study
• Tutoring
• On-the-job training
• Apprenticeship
• Flight training
• Distance learning
• Correspondence courses
• Licensing
• Certification
• National testing programs

Read more: The GI Bill Certificate of Eligibility

When did the GI Bill start? Believe it or not, the GI Bill we know today is the product of a long and winding history, starting with the very first version of the program known as the GI Bill of Rights, signed into law on June 22, 1944.

The Very First GI BIll

The original GI Bill, also known as the Servicemen’s Readjustment Act, offered World War II veterans money for college, but it also offered unemployment insurance, money for a home, and other perks not found in successive versions.

• When introduced, the legislation was unanimously passed through both the House and Senate.
• The GI Bill was signed into law in the wake of the Invasion of Normandy, also known as D-Day.
• According to the National Archives, “Within the following seven years, approximately eight million veterans received educational benefits.”

Well over 2 million people used the GI Bill to go to college back then, and three million got “school training,” while another 3 million-plus used the GI Bill to get on-the-job training.

Related: How Much GI Bill Do I Have Left?

The Original GI Bill had an Expiration Date

Believe it or not, the original GI Bill actually wasn’t intended to operate in perpetuity the way today’s Post-9/11 GI Bill does. The original GI Bill expired in 1956, providing more than 14 billion in 1956 dollars to World War Two vets.

But the Korean War brought the GI Bill back, and subsequent legislation called the Readjustment Benefits Act of 1966 expanded access to all who served. But the start of what we now know as the GI Bill wouldn’t come until the 1980s.

Related: The GI Bill Certificate of Eligibility

The Start of the Modern GI Bill

What we think of today as the “modern” GI Bill has its origin story in the mid-80s. VA.gov reports former Mississippi Congressman Gillespie V. ‘Sonny’ Montgomery “revamped the GI Bill, which has been known as the ‘Montgomery GI Bill’ ever since.”

• The Montgomery GI Bill was designed as an opt-in program. Basic trainees were offered the option to pay $100 monthly toward the GI Bill for one year, with the government providing a much larger contribution in exchange.
• Under this version of the program, an honorable discharge and a high school GED were program requirements.
• The Montgomery GI Bill operated until 2008, when a new version of the benefit was signed into law–the Post-9/11 GI Bill.

Post 9-/11 GI BIll

The Post-9/11 GI Bill program began In 2008. VA.gov announced the new GI Bill “gives Veterans with active duty service on, or after, Sept. 11 2001, enhanced educational benefits that cover more educational expenses, provide a living allowance, money for books and the ability to transfer unused educational benefits to spouses or children.”

Read more: How to Transfer the Post-9/11 GI Bill to Spouses and Dependents

Transferring education benefits to a qualifying family member is a major improvement for the GI Bill. Under the Post-9/11 GI Bill rules, those who had previously signed up for the Montgomery GI Bill were offered a one-time ability to switch to the new benefit; the decision to keep the old GI Bill or accept the new one is irreversible.

Related: Can I Top up the GI Bill?

The Forever GI Bill

The Post-9/11 GI Bill has experienced more reforms along the way than the original version did. None of those changes were more significant (in the overall history of the benefit) than the introduction of new GI Bill legislation called the Harry W. Colmery Veterans Educational Assistance Act of 2017.

Named after the author of the original GI Bill, it was signed into law by the President in August 2017.

It may be the largest single expansion of veterans’ benefits in recent history. Commonly known as the “Forever GI Bill,” this law extends the GI Bill to all Purple Heart recipients regardless of time served, creates more benefits for spouses and dependents, and formally ends a 15-year time limit for using the GI Bill for those discharged on or after January 1, 2013.

Related: The Post 9-/11 GI Bill Guide

Is it possible to top up the GI Bill? There are multiple types of military education benefits. While the Department of Veterans Affairs offers the GI Bill, other options exist, including the Yellow Ribbon program, John D. Fry Scholarships, and Tuition Assistance programs.

And depending on the program, there are also options to “top up” some VA education benefits. Is it possible to top up the GI Bill? We explore the options for those who qualify below.

In many cases, a top-up is offered to those on active duty using a service-specific Tuition Assistance program; in others, the top-up or buy-up may be offered to Guard and Reserve members using the Montgomery GI Bill.

What to Know Before Using VA Education Benefits on Active Duty

One caveat: some of the information below applies to situations typically discouraged by the VA and the military branches, using your GI Bill benefits while still serving.

Why? Because active-duty troops may qualify for Tuition Assistance and a Tuition Assistance Top-Up (see below), and in such cases using the GI Bill may actually be a waste of the benefit since these other education benefits are also offered. It’s typically better to use Tuition Assistance and any top-up options before tapping your GI Bill benefits while on active duty.

Related: Veteran Education Benefits Guide

Tuition Assistance, Tuition Assistance Top-Up, Other VA Benefits

As mentioned above, there isn’t just one VA education benefit. Your options may include, but are not limited to:

• Tuition Assistance: This is offered by individual branches of service (Army, Navy, Air Force Marines, etc.) It is typically offered to those on active duty. This form of tuition assistance is for the service member. Each branch of the service may have its own spouse tuition assistance program, but that’s not the focus of this article.
• Tuition Assistance TOP-UP (TATU): This option is offered to active duty troops in cases where there are approved charges not covered by Tuition Assistance.
• Combined Tuition Assistance/Post 9/11 GI Bill: Active duty troops can use Tuition Assistance and the GI Bill together. This is not the same as using a Tuition Assistance Top-Up, which helps troops do the same thing; use their GI Bill for primary education expenses and pay for what remains using Tuition Assistance.

Related: When Did the GI Bill Start?

Using Tuition Assistance And Tuition Assistance TATU

The Department of Veteran Affairs official site advises that it’s possible to use Tuition Assistance and Tuition Assistance TOP-UP to pay for courses for “up to 100% of your out-of-pocket tuition and fees costs, up to the Montgomery GI Bill – Active Duty Veteran monthly rate at the applicable training time.”

You will be typically limited to 36 months of Tuition Assistance TOP-UP, “charged based on the length of the student’s term,” according to VA.gov. This is a requirement separate from the rules of the Montgomery GI Bill.

Using TATU With the Post-9/11 GI Bill

If you want to use Tuition Assistance and TATU with the Post-9/11 GI Bill, contact your School Certifying Official, explain that you are using Tuition Assistance, and ask to have your enrollment certified.

VA.gov says once you’ve done this, “The School Certifying Official will reduce the tuition and fees they report to VA by the amount received from the military service Tuition Assistance.” The VA pays for “any remaining” tuition, fees, and book stipends.

Related: Military Aid Societies and Military Education Benefits

Can I Top Up the GI Bill?

The Department of Veterans Affairs offers a $600 “buy-up” program for the Montgomery GI Bill.

• VA.gov’s page on this benefit notes that service members who contribute up to $600 may be offered “more money for monthly GI Bill payments.”
• You aren’t required to commit to the full $600. Instead, you select the amount you want to commit to- the VA pays this benefit based on the service member’s contribution amount.
• Contributing the full $600 earns you up to $5,400 in additional Montgomery GI Bill benefits. The amount you are paid will depend on how many courses you take (full or part-time enrollment.)

To apply for this benefit, complete the Montgomery GI Bill Act of 1984 Basic Enrollment DD Form 2366 and submit it to your base finance office or command support staff. This program cannot be used with the Post-9/11 GI Bill.

GI Bill Kicker

What is the GI Bill Kicker? The term “kicker” describes any additional contribution made by the government toward an eligible service member’s Montgomery GI Bill. These contributions are not offered to all who enlist; a kicker is an enlistment or reenlistment incentive for specific understaffed career fields.

Kickers are typically offered to qualifying recruits of National Guard programs across the United States. Here’s one example from the Army National Guard official site:

“The Army National Guard Montgomery GI Bill Kicker program encourages qualified applicants and Soldiers to enlist into critical military jobs and units. This program applies only to specific critical Military Occupational Specialties (MOSs) and certain deployable units. The Kicker is an incentive, not an entitlement, so you’ll need to be qualified in order to receive the benefit.”

GI Bill kickers are offered with Montgomery GI Bills, but not the Post-9/11 GI Bill.

Related: Do I Qualify for VA Education Benefits?

Can you use eBenefits to manage your GI Bill? This VA/DoD partnership has changed over the years, but eBenefits is still an important resource for those who can use the portal. We’ll examine its GI Bill features below.

A Brief History of eBenefits

In 2007, the President’s Commission on Care for Returning Wounded Warriors recommended the creation of a “central access point’ for VA and DoD benefits and other information.

Today eBenefits provides access to resources military members need to manage their education benefits, healthcare, retirement, and housing benefits.

What eBenefits Offers: An Overview

The portal is not specifically focused on education benefits; you can use eBenefits to track and manage various VA/DoD benefits. According to the official site, this portal offers:

• A way to “safely access your personal information and perform self-service tasks” related to federal military benefits including the GI Bill;
• Access and submit applications for disability compensation and other benefits;
• Employment resources;
• Access to the National Resource Directory.

Related: How to Activate the GI BIll

Using eBenefits to Apply for the GI Bill

One thing you cannot do with eBenefits? You cannot use it to apply for your GI Bill benefit. You can MANAGE these benefits at the site, but the application links you’ll find on eBenefits take you to VA.gov. Don’t expect to apply for the GI Bill using this portal, go directly to VA.gov instead.

Using eBenefits to Manage Your GI Bill

Before discussing eBenefits to manage and track your VA education benefits, you should know that one important GI Bill feature is no longer supported at eBenefits. The VA official site says, “The online Certificate of Eligibility (COE) application has moved to VA.gov.”

You can use eBenefits to do a variety of GI Bill-related things. They include:

• Check Post-9/11 GI Bill enrollment status: Use this feature to learn whether you have been approved or denied GI Bill benefits. You can also use this feature to check how much GI Bill entitlement you have left to use.
• Montgomery GI Bill (WAVE) enrollment verification: This portal is used for monthly attendance confirmation. When logged into eBenefits, you’ll use the Web Automated Verification Enrollment (WAVE) option to do this. Verification is required to continue receiving the benefit.
• Post-9/11 GI Bill benefits transfer: when logged into eBenefits, eligible active duty service members can initiate a transfer of their GI Bill benefits to a spouse or dependent. Doing so requires an additional military service commitment, so be sure you know the program’s rules before using this feature.
• Direct Deposit Information: Use this section of eBenefits to update your payment and contact information for all VA benefits, including the GI Bill.
• View VA Payment History: How many education-related payments have you received from the Department of Veterans Affairs? View all of them here.
• Education appeal status: Have you been denied VA education benefits? If you submitted an appeal and it is still open, you can check its status here.

Related: GI Bill Status: How to Check

What You Need to Use eBenefits

To use eBenefits, you need a DS Logon account, an ID.me or Login.gov account. Another option is AccessVA, which according to VA.gov, “allows users to login with Sign-In Partners they may already have such as DS Logon, CAC Card, VA PIV, and more.”

You cannot view or manage any benefits without logging in. All the public-facing information outside the login is for educational purposes only.

Related: Which GI Bill do I Have?

Is it possible to use the GI Bill to buy a house? This is a common question about GI Bill benefits, and the answer confuses some…at first. The short answer is no; you typically cannot use the GI Bill to purchase a home. But why not, and what program can you use to buy a home instead of the GI Bill?

Using the GI Bill to Buy a House

If you have the Post-9/11 GI Bill, as part of those benefits you are offered a monthly housing stipend equal to the amount of Basic Allowance for Housing given to an E-5 at the “with dependents” rate.

The amount will vary depending on the zip code where you attend most of your classes.

To some, that sounds like a “free mortgage payment” for the duration of your GI Bill. But as we’ll discover below, it’s not as simple as getting the equivalent of a rent check for the duration of your college career.

Learn more: GI Bill Information and Benefits

Why You Can’t Use the GI Bill to Buy a House

It’s simple math, really. Whether you apply for an FHA mortgage, a VA home loan, or even some conventional mortgages, your income is one thing your loan officer reviews in your application carefully.

In order to be counted for purposes of approving your loan, the lender must determine that your income is stable, reliable, and likely to continue.

Government-backed home loan programs have rules that don’t allow using the GI Bill as verifiable income. Your experience with a conventional lender may vary, but expect for this source of fund to be scrutinized in the same way.

The GI Bill is not a stable income. The housing allowance is paid only for the days you actually attend classes, and it is not paid for spring break, winter break, or summer courses if you take no classes.

The GI Bill expires after you have used up your full entitlement. The income from this program is, therefore, not likely to continue.

Read more: Post-9/11 GI Bill Application Guide for Active Duty and Veterans

Using the GI Bill to Pay Rent or Mortgages

That does NOT mean you cannot use your housing allowance to pay rent or mortgage. It means the lender can’t count that money as part of your verifiable income.

The housing allowance may or may not cover all your housing expenses while in school. It’s best to think of the GI Bill housing stipend as a partial offset of your housing costs rather than a “full ride” paying 100% of those costs.

Some may be tempted to use GI Bill housing allowance money to save for a downpayment on a home.

This may be technically possible, but if you want to, ask your lender if that’s acceptable at that financial institution. It’s also smart to ask whether any “seasoning requirements” are associated with doing so.

What are seasoning requirements? In this case, it’s the bank’s rules about how long money has to remain in your account before you can use it for down payment funds.

The lender is tasked with ensuring your down payment comes only from approved sources and NOT from pink slip loans, payday loans, credit card cash advances, or other “non-collateralized loans.”

Related: VET TEC GI Bill Program

If you plan to go to college using GI Bill benefits, you might wonder if the GI Bill is taxable. Examining the tax implications of your student financial aid is essential, especially if you hope to claim federal tax credits for your education expenses. The article below is not tax advice; consider this a primer for your own tax research or when discussing your VA benefits with a tax professional.

Free Military Tax Filing Help Is Available

Military members, family members, and veterans may have free help during tax season. If you aren’t sure how to prepare and file your own taxes you may consider using a free resource such as MilTax, offered to qualifying service members and family members. MilTax provides one-on-one assistance from MilTax experts who have training for military-specific tax issues.

RELATED: Free Tax Support for Military Members

Federal Income Tax Rules for GI Bill Benefits

The Department of Veterans Affairs official site reminds us that payments you get from any GI Bill program is exempt from federal taxes. That does not mean you won’t file additional paperwork if you get GI Bill benefits (see below) but you are not taxed on them.

RELATED: Student Loans for Military Spouses

A Short List of VA Tax-Free Education Benefits

• Tuition
• Housing stipend
• Fees
• Test fees for licenses and certifications
• Tutoring
• Work-study
• Books

Tax-Free VA Education Benefit Programs

• GI Bill
• Fry Scholarship
• VET TEC Training
• Yellow Ribbon Program
• National Call To Service Program
• Survivors’ and Dependents’ Educational Assistance (DEA) program

Read more: Military and Veteran College Scholarships and Grants

Federal Income Tax Credits And Your VA Education Benefits

Federal income tax credits may be offered based on your education expenses. To claim these credits, subtract VA education benefit payments from your total education expenses (money paid directly to you, not to the school.) The amount the VA pays to the school is what you may claim as deductions.

Learn More About IRS federal income tax rules governing VA benefits and how receiving them may affect your federal tax credits.

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• Student Loan Tax Deduction: Everything You Need to Know
• GI Bill for Guard and Reserve
• When Does the GI Bill Expire?

Do you need to check the status of your application for the Post-9/11 GI Bill? There are ways to check the status of your application, and how you can do that may depend on your status as an active duty service member, veteran, military spouse or school-age dependent.

Getting Started with Your GI Bill Status Check

The Department of Veterans Affairs can take up to 30 days, sometimes longer, to process an application for the GI BIll. You won’t be able to check the status of your application until you have been officially notified by the VA that your application has been approved.

Some may be confused by the above. After all, once you have been told you’re approved for the Post-9/11 GI Bill,  isn’t that the end of the status question?

Not exactly.

Not all applicants have the same GI Bill benefits to use, and by checking the status, you’ll be able to see how much you have to use. Some qualify for 100% entitlement, while others did not serve long enough to do so and are approved with lower percentages of the benefit.

And then there are those who have used GI Bill benefits in the past and want to use them again now.

These applicants do not have the whole of their GI Bill benefit to use; they have what’s left over from the last use of the benefit. Checking your GI Bill status will tell you how much you have left and in some cases, how long you have to use it.

Read more: When Does the GI Bill Expire?

How to Check Your GI Bill Status

Any of the following login portals can be used when you need to check your GI Bill status:

• Login.gov
• ID.me
• DS Logon
• My HealtheVet

Once logged in, you’ll want to view your GI Bill Statement of Benefits, which shows the benefits you have used and what’s left. Checking your GI Bill status is NOT the same as verifying enrollment, so it is not safe to assume that simply by logging into your account, you have fulfilled the verification requirements.

Trouble Checking Your GI Bill Status?

Have you logged into your account but can’t find your VA Statement of Benefits? It may be due to problems that include, but are not limited to, having a name on the account that does not match your name in other VA records. It may also be due to any of the following:

• The VA is still processing your GI Bill application and hasn’t decided yet. This problem typically happens when people try to check their status before 30 days have passed since the application.
• You are not eligible for Post-9/11 GI Bill benefits.
• You are trying to log in during scheduled downtime.

The Department of Veterans Affairs advises its users to contact the GI Bill hotline in cases where none of the above applies to them. Call them at 888-442-4551 or TTY: 711.

GI Bill Transfers

Do you need to check the status of a GI Bill transfer to a dependent or spouse? You may need to check the status of this request but the process is not the same as checking your GI Bill status using the procedures listed above.

If you are transferring GI Bill benefits to a family member, contact a representative from your branch of service to check the transfer status. You can find the point of contact for your branch of service at the Department of Veterans Affairs official site.

In cases where you receive the GI Bill and are failing a class, you may wonder if you have to repay the VA for getting a “punitive” grade. Did you know that failing a class is, according to VA.gov, still considered academic progress?

According to the Department of Veterans Affairs official site, “If you finished the class, you won’t have to pay back the GI Bill benefits you used for that class. This is because we count a failing grade (or “punitive grade”) as progress toward graduation requirements even though you don’t get any credit for it.”

The VA adds that you may be able to retake a class you failed using the GI Bill.

GI Bill and Failing a Class Versus Dropping a Class

Failing a class is not the same as dropping or withdrawing from one. Let’s examine the policies of two different schools in this area.

According to the Maryland University official site, “If you are at risk of failing a course and continue to attend through the end of the course, the VA will consider that a completed course and will not require any funds to be returned.”

But for students who withdraw or stop attending before the end of the course when the VA has already processed the payment, “an overpayment will occur,” and you may be required to repay the VA in such cases.

The University of Utah official site says something similar. “If you drop or withdraw from a course after we have already submitted your enrollment certification to the VA, you may be required to pay the money back to the VA.”

Related: GI Bill Book Stipend

Non-Attendance of Classes Paid for with the GI Bill

You don’t have to formally withdraw or drop a class to incur a debt with the Department of Veterans Affairs over your GI Bill benefits. Non-attendance can lead to an “unofficial withdrawal,” which may result in the VA asking for its money back for that class.

The University of Utah’s policy here is a good summary of what can happen if you fail to maintain regular class attendance:

“It is important to understand that the VA pays you for being in class, not just registering for the course(s). If you register for a class but never attend or stop attending at any point during the semester, you may receive an EU grade which is considered an unofficial withdrawal and a debt will be created against you by the VA.”

If you are failing the class, it’s better to see it through to the end to avoid having to repay the VA.

Retaking a Failed Class Using the GI Bill

As mentioned above, it’s possible to retake a failed class using the GI Bill to pay for it. The University of Utah policy page states, “If you failed a required course or did not receive the minimum grade,” the school considers a passing grade, “the VA will pay for you to repeat the course.”

You may not be allowed to use the GI Bill to retake a class simply to raise your grade if you passed the class, and fees may not be covered for repeated classes.

One of the most common questions about the GI Bill?  Many newcomers to the program want to know how to activate the GI Bill; is the benefit automatic? When can you start using it? We answer those questions and more below.

How to Activate the GI Bill

When you serve the minimum time required on active duty to qualify for the GI BIll, you automatically become eligible to apply for the benefit. But it is not awarded to you automatically. You have to apply to the VA for these education benefits formally.

The VA will review your application, determine if you are indeed eligible, and notify you by mail. If you are not eligible, you will be given the reason and information about how to appeal the VA decision should you wish to do so. You will receive a VA Certificate of Eligibility for the GI Bill program if you are eligible.

Related: Which GI Bill Do I Have?

Prepare to Submit Your GI Bill Application

• Use the VA official site to learn whether you are eligible for VA education benefits
• Gather the documents (see below) you will need to submit with your application
• Learn about benefits you may receive at the school you want to attend using the GI Bill Comparison Tool

Submit These Documents With Your GI Bill Application

• Social Security number
• Bank account direct deposit information (account number and routing number)
• Education history
• Military history
• Basic information about the school

Apply to Activate Your GI BIll

You can apply online right now. Scroll down to the section of the VA official site with the button which reads Find Your Education Benefits Form. Click the button, answer the questions, and you will be given instructions from there.

Read more: GI Bill Status: How to Check

You don’t have to apply online. You may also apply by mail by calling 888-442-4551 to request the VA send a paper application to you. Fill it out and mail it to the VA regional claims processing office in the same region as your school. Find your nearest VA regional claims processing offices.

You can also apply in person at a VA regional office or work with a VA certifying official at the school you want to attend. You can also get the help of a trained Veteran Service Official or VSO.  Get help filing your claim.

How Long Does it Take the VA to Decide?

The Department of Veterans Affairs typically takes 30 days to process GI Bill applications.

RELATED:

• Is the GI Bill Considered Income? Is it taxable?

Is the GI Bill considered income? There are multiple reasons to ask this question, including whether or not you should expect to be taxed on the GI Bill and whether or not it can be considered income to apply for a VA home loan or other lines of credit.

What the IRS Says About the GI Bill®

The Internal Revenue Service’s official site lists its policies on GI Bill funds clearly. Those who served or who are still serving in the military and receiving VA education benefits are not taxed on those benefits.

From IRS.gov:

“If you serve or served in the military and receive Department of Veterans Affairs (VA) education benefits, the IRS excludes this income from taxation.”

IRS.gov directs users with questions to Publication 970, Tax Benefits for Education, which it describes as “the authoritative source for all education tax matters,” including this GI BIll tax exclusion.

IRS Says Do Not List GI Bill Benefits as Income

If you receive VA education benefits, the IRS says, “There is no required action” for you to receive the federal tax exclusion.

Furthermore, IRS.gov advises, “Payments you receive for education, training, or subsistence under any law administered by the VA are tax-free. Don’t include these payments as income on your federal tax return.”

Related: What is Veterans Readiness &Employment?

VA.Gov on GI Bill Benefits as Income

VA.gov states, “Payments from all GI Bill programs are tax-free. This is true for you, your dependents, and your survivors.” VA.gov also says not to include VA education benefit payments as earned income.

Related: How to Activate the GI Bill

Using GI Bill Benefits as Income When Buying a Home

Some may be tempted to claim Post-9/11 GI Bill BAH housing stipend payments as income when applying for VA home loans, FHA mortgages or even some conventional loans.

Be advised that for most government-backed mortgage loan programs such as the VA loan, GI Bill funds cannot be used to qualify for the home loan.

Related: BAH Calculator and Post-9/11 GI Bill BAH Calculator

This is because VA loans and FHA mortgages require the borrower’s qualifying income to be stable, reliable, and likely to continue. But GI Bill housing benefits are only paid during the days the student actually attends class, and the stipend will expire when the student’s GI Bill benefits run out.

In other words, the income is not likely to continue and therefore does not count as “verifiable income” the lender may use to approve the loan.

Your experience may vary regarding conventional mortgages, but you may find that some lenders are unwilling to consider GI Bill benefit payments as income for the same reasons government-backed mortgages don’t.

RELATED: GI Bill Status: How to Check