Making the Most of the Post-9/11 GI Bill

The GI Bill has been a game-changer for veterans since it was introduced as the Servicemen’s Readjustment Act of 1944. Back then, its mission was simple: Help World War II veterans transition back into civilian life. It offered benefits like financial assistance for education, low-interest home loans, unemployment support, and even small business funding. While the original GI Bill ended in 1956, the term now refers to any legislation aimed at helping veterans and active service members access higher education.

Fast forward to 2008, when Congress passed the Post-9/11 GI Bill, which was later expanded by the Forever GI Bill in 2017. These updates made it possible for eligible service members to transfer education benefits to their family members. Understanding how these benefits work is key to making the most of them for yourself or your loved ones.

What Does the Post-9/11 GI Bill Cover?

The Post-9/11 GI Bill offers a wide range of educational benefits, covering things like:

Tuition and fees
Housing
A stipend for books and supplies
A one-time relocation benefit

The annual funding cap is $28,937 per eligible person, but the percentage you receive depends on how long you served:

24-30 months: 80%
18-24 months: 70%
6-18 months: 60%
90 days-6 months: 50%

For tuition, the VA covers up to 100% for public colleges, with limits of $250 per semester credit hour or $166 per quarter credit hour.

Breaking It Down

Tuition: One of the most significant perks is full coverage of tuition and fees for in-state public colleges. For private colleges, the VA pays up to the cost of the most expensive in-state public college. For example, a veteran attending SUNY-Buffalo in New York would have their tuition fully covered. But if they chose a private school like the College of Westchester, the GI Bill would only cover the equivalent of SUNY-Buffalo’s tuition, leaving them to pay the difference.

If you're eyeing a private college, the Yellow Ribbon Program can help bridge the gap. This partnership between the VA and participating schools covers additional tuition costs, but the level of support varies by college.

Housing: The GI Bill includes a tax-free monthly housing allowance based on the ZIP code of your school. If you're taking online classes, the allowance is 50% of the national average.

Books and Supplies: You can also receive up to $1,000 annually for books and supplies.

Relocation Assistance: If you’re moving to attend school and there isn’t a nearby state college, you may qualify for a one-time $500 relocation allowance.

Additional Benefits

If you’ve served at least three years of active duty, you’re eligible for up to 36 months of full education benefits. That’s enough to cover most four-year degrees! The Forever GI Bill even offers a STEM extension for those pursuing fields that require extra time and funding.

And here’s a big perk: you can transfer your benefits to your spouse or children. To do this, you’ll need to meet these requirements:

Be on active duty or in the Selected Reserve
Have completed six years of service
Agree to serve four more years
Or, have received a Purple Heart after September 10, 2001

Applying for GI Bill Benefits

Getting started is straightforward:

Pick an eligible college or training program.
Submit VA Form 22-1990 to your nearest VA Regional Processing Office.

If you’re transferring benefits to a family member, they’ll need to be registered in the Defense Enrollment Eligibility Reporting System (DEERS).

For families of deceased veterans, the Survivors and Dependents Educational Assistance Program offers benefits for college if their loved one died due to a service-connected disability or while on active duty.

A Final Note

Whether you’re a veteran, an active service member, or a family member, the GI Bill is an incredible resource. Take the time to explore your options and maximize the support available for your education or career goals. With the right plan, you can unlock opportunities that honor your service and set you or your family up for success.

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All the best.

Rick Fingerman, CFP®, CDFA™, CCPS®

617-630-4978

Rick@PlanWithFPS.com

Financial Planning Solutions, LLC (FPS) provides this blog for informational and educational purposes only. Nothing in this blog should be considered investment, tax, medical, or legal advice. FPS only renders personalized advice to each client. Information herein includes opinions and source information that is believed to be reliable. However, such information may not be independently verified by FPS