New GI Bill May Soon Become Reality

In an effort to push through Sen. James Webb’s (D-VA) popular “Post 9/11 GI Bill” (S. 22), Congress inserted it in the Military Construction and Veterans Affairs and Related Agencies Appropriations Act (HR 2642).

Under pending GI Bill reforms a servicemember or veteran with over 36 months of active-duty service since Sept. 11, 2001, could see an increase of approximately $2,000 a month over the current Montgomery GI Bill payment rate of $1,101.

While the proposed Webb GI Bill has support among veterans groups and strong bi-partisan support in both houses, it faces numerous obstacles, namely the threat of a presidential veto. However, the White House indicated that Congress could improve the chances of passing the bill by adding a provision to let servicemembers transfer GI Bill benefits to family members. In an effort to avoid a veto, the house has added the transferability provision to the legislation.

The House has sent their final version to the Senate, where it is expected to pass quickly. Once this is accomplished it’s off to the President’s desk for signature.

It is important to note that Sen. Webb's proposed Post 9/11 GI Bill is not a replacement for the Montgomery GI Bill (MGIB). Many servicemembers and veterans will be able to choose the program that best suits their personal situation.

At-a-Glance GI Bill Comparison

The following table highlights the differences between the Montgomery GI Bill and the proposed Post 9/11 GI Bill. The data presented here reflects current language found in the pending legislation (H.R. 2642).

	Montgomery GI Bill Chapter 30	Post 9/11 GI Bill Proposed - Chapter 33
Payment Rate for Full-Time Student	Annually set - nationwide - monthly payment rate. Currently set at $1,101. The payment rate may increase to $1,321 for 2008-2009+	A payment indexed to full in-state tuition for public schools. Paid per term.*
Additional expense payments	No additional payments for expenses.	Living Expenses - stipend based on local BAH for E-5 with dependents – paid monthly*
		Books and Fees
Eligibility Requirements	Entered military after June 30, 1985	Active-duty service since Sept. 11, 2001***
VEAP-era  Eligibility	No - Except those who elected to convert in the past.	Yes – those who meet the eligibility criteria above.
Benefit Expiration	10 Years after separation or discharge.	15 Years after discharge or separation.
Transfer benefits to families	Limited - Currently Limited to Army for Critical MOS only.	Yes - Although the details are still to be released.
Enrollment fee	Yes - $1,200	None

⁺ This MGIB rate increase is included in H.R. 2642.
* Based on current State's highest public college/university undergraduate tuition and fees rate. In addition this payment is determined by the length of post 911 service. The less time in service since Sept. 11. 2001 the lower the payment rate.
** Traditional or On-campus students only. Distance learning and online students are not eligible for this stipend.
*** Any servicemember (including Guard and Reserve) who has or was placed on active-duty since Sept. 11, 2001

About Terry Howell

A Retired Coast Guard Chief Petty Officer, Terry completed his BS in Management and Communications using a combination of CLEP exams, credit for military service, and distance learning, tuition assistance and the MGIB while on active-duty. Terry now serves as Managing Editor for Education at Military.com.

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