Should You Use Your GI Bill on Active Duty?

Week of May 14, 2007

It's usually not a good idea to use your GI Bill while on active duty, because VA administers the GI Bill differently for active duty and veterans. For instance a veteran is charged one month of benefits for each $1075 - the current GI Bill "payment rate" - in education benefits used. Example - If a veteran receives $4300, and the current full-time payment rate is $1075, divide $4300 by $1075. The veteran will be charged 4 months of the 36 months of benefits. However if you are on active duty and go to school full-time for 4 months, you will still be charged 4 months of benefits even if your tuition is only $1,000. Considering this, it only makes sense to use your GI Bill on active duty if your tuition costs are high or you use your "GI Bill Top-up" benefit.

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