Montgomery GI Bill vs. Post-9/11 GI Bill: What’s the Difference?

For decades, the GI Bill has helped service members, veterans, and their families pay for school and training. Today, the two most commonly used programs are the Montgomery GI Bill (MGIB) and the Post-9/11 GI Bill. While both provide powerful education benefits, they work very differently—and one generally provides far more financial support than the other.

This guide breaks down the history, eligibility, and financial advantages of each program, so you can choose the one that fits your education and career goals.

A Brief History

Montgomery GI Bill (MGIB – Chapter 30) — Created in 1984

The MGIB became law as part of the Montgomery GI Bill Act of 1984, championed by Congressman G.V. “Sonny” Montgomery. It replaced earlier Vietnam-era programs and was designed to encourage enlistment by offering a monthly education payment directly to service members and veterans.

Under MGIB:

• Service members typically contribute $1,200 during their first year of service to enroll.

• VA pays benefits directly to the student, not the school.

• Students choose how to spend the monthly payment (tuition, supplies, housing, etc.).

• Benefits last up to 36 months.

  
  

This was the standard GI Bill until the Post-9/11 era, when college costs began to outpace flat-rate MGIB payments.

Post-9/11 GI Bill (Chapter 33) — Created in 2009

The Post-9/11 GI Bill was created through the Post-9/11 Veterans Educational Assistance Act of 2008. It modernized education benefits to reflect rising tuition costs and the needs of post-9/11 veterans.

The Post-9/11 GI Bill includes:

• Full tuition and fees for most public in-state schools

• A monthly housing allowance (MHA) based on BAH for an E-5 with dependents

• A yearly books and supplies stipend

• Transferability to dependents if DoD rules are met

• Access to the Yellow Ribbon Program for high-tuition schools

  
  

This program shifted the GI Bill from a flat monthly payment to a comprehensive college funding model.

Eligibility Requirements

All eligibility criteria below are verified through VA Form 22-1990 instructions, the official application for education benefits.

Montgomery GI Bill (MGIB – Chapter 30)

You may qualify for MGIB if:

• You entered active duty after July 1, 1985

• You did not decline MGIB at entry

• You contributed $1,200 during your first year of service

• You completed 2–3 years of continuous active duty (depending on enlistment)

• You earned a high school diploma or equivalent before applying

  
  

Additional routes to MGIB eligibility (verified in VA documentation) include:

• Certain involuntary separations

• Eligibility via VEAP conversion

• VSI/SSB separation categories

  
  

MGIB eligibility does not require service after 9/11.

Post-9/11 GI Bill (Chapter 33)

You may qualify for Post-9/11 benefits if:

• You served at least 90 aggregate days of active duty after September 10, 2001, OR

• You served 30 continuous days after 9/11 and were discharged for a service-connected disability

• You received an honorable discharge or remain on active duty

• National Guard/Reserve service counts if it involved qualifying Title 10 or certain Title 32 activations

  
  

Eligibility percentage is based on service length (50%–100%).

💰 Financial Comparison: What Each Program Pays

Montgomery GI Bill (MGIB – Chapter 30)

MGIB provides:

• A fixed monthly payment directly to the student

• 2024 full-time student rate: $2,358 per month

• Up to 36 months of payments

  
  

MGIB does not include:

• Tuition paid directly to the school

• A housing allowance

• A book stipend

• Transferability to dependents

  
  

This program offers flexibility but typically less total value than Post-9/11.

Post-9/11 GI Bill (Chapter 33)

Post-9/11 benefits include:

✔️ Tuition and Fees

• Full in-state tuition at public schools

• Private / foreign school tuition up to a yearly cap (updated annually)

  
  

✔️ Monthly Housing Allowance (MHA)

• Equal to BAH for an E-5 with dependents

• Based on the school's ZIP code

• Students enrolled exclusively online receive a reduced MHA

  
  

✔️ Books and Supplies Stipend

• Up to $1,000 per year

  
  

✔️ Yellow Ribbon Program

• Helps cover tuition above the standard cap (e.g., private schools, graduate programs)

  
  

✔️ Transferability

• Service members may transfer benefits to a spouse or child if they meet DoD service-obligation rules(Transferability rules originate with DoD, not VA.)

📊 Side-by-Side Comparison

Feature	Montgomery GI Bill	Post-9/11 GI Bill
Tuition Paid to School	❌ No	✅ Yes
Housing Allowance	❌ No	✅ Yes
Book Stipend	❌ No	✅ Yes
Monthly Student Payment	✅ Yes	❌ No
Transfer to Dependents	❌ No	✅ Yes
Buy-In Required	✅ $1,200	❌ None
Yellow Ribbon Eligible	❌ No	✅ Yes
Public School Tuition	Student pays using monthly rate	Covered up to 100%
Private School Tuition	Student pays using monthly rate	Covered up to annual cap
Program Length	Up to 36 months	Up to 36 months

Which One Is Better?

Both are great benefits. It is hard to go wrong with an affordable education!

The Post-9/11 GI Bill is best for most students, especially if you plan to attend:

• A public university or community college

• A private or graduate school participating in Yellow Ribbon

• School in a high-cost-of-living area

• A program with high tuition

• Training programs approved for Chapter 33

  
  

You also need Post-9/11 if you want the housing allowance or to transfer benefits to dependents.

MGIB may be better if:

• You want a tax-free monthly payment to spend however you choose

• You’re entering a low-cost program where flat-rate payments stretch further

• Your program is not covered well by the Post-9/11 GI Bill

• You already paid the $1,200 buy-in and want to use it

  
  

Some veterans qualify for both, but switching to Post-9/11 is permanent. VA Form 22-1990 confirms that a single period of service generally cannot be used twice for two separate benefits programs.

Conclusion

The Montgomery GI Bill and the Post-9/11 GI Bill both support education and career advancement, but they serve different needs:

• MGIB offers flexibility and direct monthly payments.

• Post-9/11 provides comprehensive financial coverage, including tuition, housing, books, and transferability.

  
  

Before choosing, consider:

• The type and cost of your school

• Whether you want housing support

• Your family’s needs

• Long-term education and career goals

  
  

Choosing the right benefit can save you tens of thousands, maybe even hundreds of thousands of dollars on education costs. Using either benefit can substantially increase your potential earnings in the long run and set yourself up for success.

Don't wait! Apply to use your education benefits today!