On June 20, 2008, the President signed into law the Supplemental Appropriations Act (P.L. 110-252) to pay for the wars in Iraq and Afghanistan. The bill also incorporates the Post-9/11 Veterans Educational Assistance Act of 2008, which contains a host of new benefits for GIs who have served in the military since the 9/11 terrorist acts.
The enhanced educational benefits, which the new law compares to those provided to World War II veterans, are payable for a total of 36 months, the equivalent of four years of college, and remain available for up to 15 years after a veteran’s last discharge or release from active duty.
This program goes into effect for the 2009-10 academic year, with payments becoming available on August 1, 2009.
Eligible Students
Individuals who have served in the Armed Forces on or after September 11, 2001, will be eligible for at least three kinds of educational benefits: tuition benefits, housing stipends, and an allowance for books. Benefit amounts are based on the amount of time a veteran has served in the military. All benefits in the law are contingent on service in the Armed Forces on or after September 11, 2001, and an honorable discharge or a discharge due to a medical condition that did not result from an individual’s own willful misconduct. The law creates eight separate categories of veterans for purposes of awarding these benefits, defined according to the length of time served on active duty (generally aggregated and including training):
Individuals who have served for at least 36 months.
Individuals who have served for at least 30 days (continuous) on active duty and were then discharged for a service-related disability.
Individuals who have served for at least 30 months and but less than 36 months. These students may receive 90 percent of the maximum benefits outlined in the law.
Individuals who have served at least 24 months and less than 30 months on or after 9/11. These students may receive 80 percent of the maximum benefits outlined in the law.
Individuals who have served at least 18 months and less than 24 months on or after 9/11. These students may receive 70 percent of the maximum benefits outlined in the law.
Individuals who have served at least 12 months and less than 18 months on or after 9/11. These students may receive 60 percent of the maximum benefits outlined in the law.
Individuals who have served at least six months and less than 12 months on or after 9/11. These students may receive 50 percent of the maximum benefits outlined in the law.
Individuals who have served at least 90 days and less than six months on or after 9/11. These students may receive 40 percent of the maximum benefits outlined in the law.
Certain periods do not count, such as active duty as an officer pursuant to certain agreements or as a result of defective enlistment and induction.
Educational Benefits
Qualified individuals enrolled in approved programs are entitled to receive education benefits equal to 36 months (i.e., the equivalent of four-years of college) to pay for living expenses, tuition, fees, and other costs incurred while pursuing the education. The book allowance is paid to the student at the beginning of each term; housing stipends are paid to the student monthly. Tuition payments are made directly to the student’s institution. (The VA will need to establish a payment system to convey funds to eligible institutions.)
Recipients may not receive an amount for tuition and fees that exceeds the maximum in-state amount of established charges at the most expensive public school in that state. That amount is further reduced for part-time study (i.e., half-time or less) if the actual charges are less than the educational benefit would otherwise be. The maximum allowance for books, supplies, equipment, and other educational costs is $1,000 per academic year, paid proportionately by term.
The maximum monthly housing stipend equals the amount of basic housing for military personnel in military housing adjusted by ZIP code. Individuals with a skill or specialty that is in critically short supply as designated by the Secretary of Defense may have their monthly stipend increased.
The law also provides $100 per month for up to 12 months for students who require tutoring, as long as the instructor leading the course certifies that the tutoring is essential to correct a deficiency in a specific course and the course is required to complete an approved program.
Individuals living in county with less than seven persons per square mile and who relocate at least 500 miles to attend school or who must travel by air to attend an institution because it is too far to drive will receive an additional $500 relocation/travel assistance grant.
Up to $2,000 will also be provided to cover the cost of one licensing or certification exam.
A student cannot receive assistance concurrently under both the post-9/11 benefits and another VA educational benefit program, although the student can elect which program will pay.
Students Still on Active Duty
Students who are on active military duty may still receive education benefits up to the amount that doesn't exceed the maximum in-state amount of established charges at the most expensive public school in that state. However, housing allowances are not payable, and so the individual who is still serving on active duty might elect not to exhaust part of his or her monthly entitlement under the post-9/11 benefits if a different benefit program is more advantageous.
Matching Grants
The law creates a "Yellow Ribbon G.I. Education Enhancement Program" that allows colleges and universities to voluntarily cover a portion of tuition and fees not otherwise covered by the law. Only service members who have served for a least 36 months or who served for at least 30 days on active duty and were then discharged for a service-related disability qualify for this benefit.
In instances where the educational benefits do not cover the full cost of tuition and fees at the school, the government will provide up to 50 percent of any remaining costs if the school puts up the other 50 percent. The government will list on its Web site all schools that choose to enter into these arrangements.
Transfer of Benefits
Eligible individuals may transfer a portion of their education benefits to their spouse, children (until the age of 26), or a combination of both. Transferring benefits is only available to active members of the Armed Forces who have completed at least six years of service in the armed forces and agree to serve at least four more years. The Secretary may limit the months of entitlement that may be transferred under this section to no less than 18 months.
By Justin Draeger
NASFAA Associate Director for Communications
Joan Berkes, Director of Legislative and Regulatory Analysis, also contributed to this article.
Posted 07/31/08 to www.NASFAA.org. Redistribution to non-NASFAA institutions is prohibited. Please submit Web Site questions or comments to Web@NASFAA.org.