How Much Does The GI Bill Pay For Housing?

The GI Bill provides housing assistance to eligible veterans pursuing higher education or training programs. This benefit aims to cover a portion of housing costs like rent and utilities. Determining your exact housing stipend depends on several factors.

GI Bill Programs With Housing Allowances

Two GI Bill programs offer monthly housing allowances – the Post-9/11 GI Bill and the Montgomery GI Bill,

The Post-9/11 GI Bill is the most widely used education program. It provides comprehensive benefits including tuition assistance, a housing allowance, and stipends for books and supplies

The Montgomery GI Bill also offers a monthly housing payment but has less generous benefits overall. This older program requires service members to contribute $100 per month to qualify. Only veterans who opted into the Montgomery GI Bill before the Post-9/11 program exist can use it.

Calculating Your Post-9/11 Housing Allowance

The housing allowance under the Post-9/11 GI Bill aims to cover a portion of average housing costs in the area where you attend school. The actual amount depends on:

• Location – Your housing stipend is based on the zip code for your school’s campus. VA uses the DoD’s Basic Allowance for Housing (BAH) rates for that area.

• Enrollment – Full-time students receive a higher stipend than part-time learners. Your rate of pursuit must be more than 50% to qualify.

• Online Status – Online students get half the national average BAH rate. Onsite students get payments based on their school’s zip code.

Let’s break these factors down further:

Location-Based Allowance Rates

The Post-9/11 housing allowance uses BAH rates set by the Department of Defense. BAH aims to cover 95% of average rental and utilities costs for each military paygrade (E-1 to O-10) in a given zip code.

For GI Bill housing stipends, the VA bases your payment on BAH rates for an E-5 with dependents.

• If you take in-person classes, your housing allowance depends on your school’s zip code. An E-5 BAH rate in San Francisco, for example, exceeds $4,000 monthly. In small towns or rural areas, it may be under $1,000.

• For online learners, housing allowances are set at half the national average BAH for an E-5 with dependents. In 2023, the online rate is $988 monthly.

The VA updates BAH rates annually on January 1. Your housing stipend for a semester depends on the rates in effect during that term.

Enrollment Status

The VA also adjusts your Post-9/11 housing stipend based on enrollment level:

• Full-time – 100% of your BAH rate
• 3/4 time – 75% of your BAH
• 1/2 time – 50% of your BAH
• Less than 1/2 time – No housing allowance

At most public schools, 12 credits per term is full-time. Taking 9 credits would be 3/4 time and 6 credits is 1/2 time.

Putting It All Together

Let’s look at two examples to see how these factors determine your Post-9/11 GI Bill housing payment:

• Sam is taking 12 credits on campus at State College. State College’s zip code has a $1,200 monthly BAH rate. As a full-time student, Sam gets the full $1,200 BAH rate for his housing allowance.

• Robin is taking 9 online credits at Tech University. As an online student at 3/4 time enrollment, Robin gets 75% of the current national average BAH rate. This equals $741 monthly (0.75 x $988).

In addition to location and enrollment, the length of your service also impacts GI Bill benefits. Veterans with at least 36 months of active duty qualify for the full housing allowance. Those with shorter service receive prorated payments.

Housing Allowances Under The Montgomery GI Bill

The Montgomery GI Bill program also provides a tax-free stipend to cover housing expenses. Here are some key points:

• Full-time students receive a flat rate of $1,752 monthly in 2023. Less than full-time gets a partial stipend.

• Allowances are the same nationwide – not based on location.

• Online vs. on-campus makes no difference.

• Payments come directly from the VA rather than through your school.

Overall, the Montgomery GI Bill provides less generous housing benefits compared to the Post-9/11 program. Make sure to understand both before choosing the best option for your goals.

When Housing Allowances Are Not Paid

Some situations prevent you from collecting a housing allowance even if you qualify for GI Bill benefits:

• Active duty service members do not receive the stipend.

• Spouses using GI Bill transfers can’t get the allowance while their military spouse is serving.

• Students on active duty or using transferred benefits get tuition coverage but no housing payments.

• Breaks between terms, including summer breaks, also pause housing stipends.

• Those enrolled half-time or less miss out on the allowance.

• Students in certain programs like correspondence training, flight training, and apprenticeships don’t qualify either.

• Going to school overseas at a foreign college means no location-based allowance. You may get partial stipends based on enrollment though.

Estimating Your Housing Allowance

Wondering how much you can expect to receive for housing costs under the GI Bill? Here are some useful resources:

• The VA’s MHA Comparison Tool lets you estimate benefits for a particular school.

• This GI Bill calculator by Student Veterans of America also forecasts housing stipends.

• Looking up BAH rates in your desired school’s zip code gives you an idea of potential allowances for on-campus programs.

• Remember national average BAH rates set online stipends. For 2023, it is $988 monthly.

• Review the full rates chart on the VA’s website for the latest stipend amounts and program details.

Determining your exact Post-9/11 housing payment requires some research. But the resources above can give you an estimate to factor into your education planning and budget.

Applying For GI Bill Housing Allowances

To start receiving your monthly housing allowance, you need to apply and enroll in an approved education program:

• Submit an application for VA education benefits if you haven’t already.

• Get accepted to and register for classes at a VA-approved school.

• Provide your school’s VA certifying official with information to process your enrollment certification.

• Monitor eBenefits or speak with your school to ensure your enrollment is verified.

• If eligible, housing payments will begin dispersing after the VA processes your paperwork and enrollment.

• Your monthly stipends will be sent directly to you, not your institution.

• Remember to promptly report any changes in enrollment, address, or program to avoid issues with your payments.

Stay in touch with your certifying official and the VA about your application status. This helps ensure you receive all benefits you’ve earned, including the housing allowance, once classes start.

Use Housing Stipends Wisely

GI Bill housing stipends provide significant assistance with living costs while furthering your education and training. Be sure to budget this money wisely:

• Find affordable housing and utilities within the housing allowance amount. Track all expenses carefully.

• Weigh costs of commuting versus living on campus or closer to your school.

• Divide stipends to cover the full academic year including periods when classes aren’t in session.

• Account for fluctuating allowances between school years and differences in on-campus vs. online terms.

• Have a plan to cover any gaps between housing payments and actual costs.

• Consider getting a roommate, student housing, subsidized rentals, or other cost-saving options.

• Research all financial resources available through your school and community assistance programs.

With some planning, GI Bill housing allowances can cover a reasonable portion of your housing expenses. Combining stipends with other income sources and a frugal budget may help you limit student loans and debt.

Housing Support for Your Education Goals

Monthly housing assistance gives veterans using the GI Bill some relief from the costs of living while attending school. Determine your potential stipend amount and factor that into your education plans and budget. With strategic planning, the housing allowance can make higher education and career training more financially viable.