Montgomery vs. Post-9/11 GI Bill: Differences and Eligibility

• The Post-9/11 GI Bill is the most widely used program and offers the broadest range of benefits, including a housing allowance and the ability to transfer benefits to dependents.
• The Montgomery GI Bill pays a fixed monthly amount directly to you, which can work in your favor if your tuition is low or you prefer a predictable payment.
• Switching from Montgomery to Post-9/11 is permanent and you cannot switch back, so compare both carefully before deciding.

If you’ve served in the military, you may be eligible for benefits to further your education. The specific benefits you earn depend on when you served, but all forms of the GI Bill share a common goal: providing a clear path forward for service members, Veterans, and their dependents.

The GI Bill dates back to World War II, when millions of returning GIs faced unemployment and a difficult transition back to civilian life. In response, the federal government passed legislation offering financial assistance, counseling, and training for Veterans pursuing higher education.

Today, two main options exist: the Montgomery GI Bill and the Post-9/11 GI Bill, each with its own set of benefits. We’ll break down both so you can make the best decision for your situation.

The Montgomery GI Bill was named for G.V. “Sonny” Montgomery, a Veteran and Congressman who spearheaded the legislation. It became a law in 1984 and has provided benefits for education, among other things, ever since.

The Montgomery GI Bill provides up to 36 months of education benefits. It pays a fixed monthly amount directly to you, not to your school. You can apply that money to tuition, fees, books, housing, or other education costs, and you pay your school yourself.

The Post-9/11 GI Bill updated the existing legislation to increase benefits and restructure how those who served after September 10, 2001, were paid. This GI Bill can also be transferred to qualifying dependents to cover their educational expenses.

Most service members and recent Veterans prefer the Post-9/11 GI Bill. It is the most widely used program, mostly because it has a greater range of benefits.

There are some key differences in what the two benefits provide, as well as who can use them. When deciding between the two, you’ll need to consider which one you qualify for and how you plan to pursue your education.

Currently serving military members likely qualify for benefits under either bill, but they typically elect the Post-9/11 GI Bill over the older Montgomery GI Bill.

Montgomery GI Bill: Anyone who served in the military after June 30, 1985, for at least three years (sometimes two years for those under specific two-year contracts) qualifies for the Montgomery GI Bill. You must have a high school diploma to take advantage of the benefits and have paid into the program, typically through an allotment in your pay during a portion of your service.

Post-9/11 GI Bill: Anyone who served in the military after September 10, 2001 for at least 90 days qualifies for the Post-9/11 GI Bill. This includes breaks in service, and the time requirement lowers to 30 days for those who were honorably discharged following a service-connected disability. Purple Heart recipients who received the award on or after September 11, 2001 qualify automatically at the 100 percent benefit level, regardless of length of service.

You have up to 10 years after active duty service to use the Montgomery GI Bill benefits and up to 15 years for the Post-9/11 GI Bill benefits. The Harry W. Colmery Veterans Educational Assistance Act of 2017, known as the Forever GI Bill, removed the 15-year limit for anyone whose last discharge or release from active duty was on or after Jan. 1, 2013. Those who separated before that date still face the 15-year deadline.

Tuition is by far the biggest expense for students, although both versions of the GI Bill also cover some related expenses like books.

Montgomery GI Bill: Pays a fixed monthly amount for up to 36 months, set by your length of service and rate of enrollment. For Oct. 1, 2025, through Sept. 30, 2026, the full-time rate is $2,518 per month for those with at least three continuous years of active duty, and $2,043 per month for two to three years of service. The rate adjusts each October 1st.

Post-9/11 GI Bill: Covers up to 36 months of tuition and fees, based on your length of service. At the 100 percent benefit level, it pays the net cost of in-state tuition and fees — the amount left after any waivers or scholarships — directly to public schools. Private schools, foreign schools, and non-degree programs are capped as follows: $29,920.95 for the 2025-2026 academic year (Aug. 1, 2025, through July 31, 2026), then increasing to $30,908.34 for 2026-2027.

Some schools join the Yellow Ribbon Program, which covers tuition and fees above the Post-9/11 cap. The school contributes a set amount, and VA matches it. Only students at the 100 percent benefit level qualify. It mainly helps at private, foreign, graduate, and out-of-state public schools, where costs run past what the GI Bill pays.

While attending school, it can be difficult to maintain a full-time job that pays for housing and living expenses, especially if you are a full-time student. In some cases, the GI Bill provides a housing allowance, or MHA, for basic living expenses, including mortgage and rent payments.

Montgomery GI Bill: No housing allowance included.

Post-9/11 GI Bill: Pays a monthly housing allowance (MHA) for up to 36 months. You must attend more than half-time to receive it. In-person students receive a location-based rate tied to the Basic Allowance for Housing for an E-5 with dependents, based on the school’s ZIP code.

Online Students: Students taking all courses online receive a flat rate instead, regardless of their location. For the 2025-2026 year, the national allowance is $1,169 a month for the 2025-2026 year, increasing to $1,261 for 2026-2027. Students moving from a rural area to attend school may also qualify for a one-time relocation payment.

You may be able to transfer your benefits to your spouse or dependent children to cover their tuition, housing costs, and books.

Montgomery GI Bill: You are unable to transfer benefits.

Post-9/11 GI Bill: You can transfer benefits to a spouse or child after six years of service in exchange for a commitment to serve four more years. However, you must request the transfer while still serving. The Defense Department, not the VA, is the approval authority, and the dependent must be enrolled in DEERS, the military’s eligibility database.

Regardless of which version you apply for, you will have the ability to transfer your benefits from one school to another if you decide to enroll in a new institution. This can come in handy when you are conducting a PCS while also utilizing your GI Bill benefit.

Before deciding which GI Bill is best for you, consider these key aspects:

• Do you need a housing allowance while in school?
  Only the Post-9/11 GI Bill includes a monthly housing allowance. If you need help covering rent or mortgage payments while enrolled, this is a significant advantage.
• What does tuition cost at your school?
  Post-9/11 covers full in-state public tuition paid directly to your school. Montgomery pays a fixed monthly amount regardless of what your school charges, which can work in your favor if your tuition is low.
• Do you want to transfer benefits to a spouse or children?
  Only the Post-9/11 GI Bill allows it. If that matters to your family, it’s a deciding factor.
• Do you prefer a fixed or variable monthly payment?
  Montgomery pays the same amount every month, making it easier to budget. Post-9/11 payments vary based on your tuition and location, but typically cover more overall.

Both the Montgomery GI Bill and the Post-9/11 GI Bill are important benefits that help active-duty service members, Veterans, and their eligible family members pursue higher education.

The best option depends on your program goals, how you plan to pursue your education, and what you need while enrolled. Learn more about using the benefits you earned for education, housing, and more by following the AHRN blog.