Collecting GI Bill Benefits for Residency and/or Fellowship
Understanding your benefits may reward you over $60,000 toward civilian residency/fellowship or your dependent’s education.
Montgomery GI Bill
Inclusion
No USUSH or service academy grads; HPSP ok
Benefits
As of October 1, 2015: $1789/month x 36 months and $150/month x 36 months (for "buy-up program"); NET: $1889/month
Cost
$1200 plus $600 for "buy-up program"; Benefits above are AFTER costs
Who may it benefit?
>3 yr training planned (residency/fellowship); When benefits are better than Post-911
Post-911 GIB
Inclusion
Every service member who has served over 3 years after 09/10/2011; otherwise prorated
Benefits
Residency’s BAH for E5 with dependents for 36 months plus; $1000/year for books
Cost
None
Who may it benefit?
3yr training planned in area with high BAH; Planning on spending >9 years active duty
IMPORTANT FACTOIDS
-Enrollment for Montgomery GI Bill costs $1200 and currently pays out $1648/month for 36 months for
full-time institutional training. Note that you when you sign up ensure that it is for “Full-time institutional training” and not for “apprenticeship or on-the-job training.” The difference is hundreds of dollars per month. It is usually automatically deducted from your monthly paycheck in increments of $120 per month for a year. If you have less than a year left on your commitment when you sign-up, the difference will typically be taken out as a lump sum of your final paycheck. Request The “Buy-up program” (DD-2366-1) when you sign for the Montgomery GI Bill. It costs $600 but rewards you $150/month over the course of 36 months. That is a $4800 net gain. In total, currently the Montgomery GI Bill would reward you $64,128 tax free over 3 years. Soften the blow for a reduced civilian residency salary? You bet!
-Most will benefit more from the Montgomery GI Bill due to the payout being higher (except for those attending residency/fellowship with high BAH). Note that this is true for residency and fellowship but NOT medical school and undergrad. This is because the Post-911 also cuts a check to your school for tuition, but since you don’t pay tuition for residency/fellowship you don’t gain that benefit.
-If you exhaust your Montgomery GI Bill and still have remaining training (4th year of residency/fellowship), you can fill out paperwork to have 12-months of the Post-911 GI Bill (Active Duty Chapter 30). This is not true of the opposite.
-You can hand your post-911 GI Bill benefits to a dependent, but you have to serve 6 years, and then agree to sign on for four additional years. The paperwork for the transfer of benefits has to be at the time of the four year extension. Timing is important. You can’t transfer Montgomery GI Bill benefits to dependents. HPSP does NOT count toward years served.
How to sign-up for the Montgomery GI Bill
STEP 1. Find out your DD-2366 status
-If you have accepted the Montgomery GI Bill on your DD-2366, ensure that the $1200 deduction and $600 “buy-up program” was made on your LES
-If you have declined Montgomery GI Bill benefits on your DD-2366 because, like me, you were told that you unable to use the benefits on furthering your education, contest on the basis that you were given “incorrect counseling”. To do this you must go to the “Board of Correction of Naval Records” website at
http://www.public.navy.mil/bupers-npc/career/recordsmanagement/Pages/BCNR.aspx. You then Download, fill out, and submit the DD Form 149 to the Board of Correction of Naval Records with the addresses provided on the form. I have been told that you do not need this on command letterhead. The process can take up to a year to play out, so I recommend doing this ASAP and keeping in touch with the Board to ensure it gets done. After the findings on the DD-2366 have been reversed, go to PSD/education department and initiate process for Montgomery GI Bill
-If you don’t know if you accepted or declined the Montgomery GI Bill on the DD-2366, go to PSD and request it. Then use the appropriate step above.
STEP 2. Get accepted into residency/fellowship.
STEP 3a. If you believe that the MGIB will give you a better payout than the Post-911, sign-up through PSD (VA FORM 22-1990).
STEP 3b. Ensure that your residency/fellowship is registered with the VA for GI Bill benefits. Search using:
http://inquiry.vba.va.gov/weamspub/buildSearchInstitutionCriteria.do. If your program is not listed, you will need to get it registered. The search results will include both the post-911 GI Bill benefit per month, as well as your program’s “certifying official’s” name.
STEP 4. Upon signing your residency/fellowship contract, also have your program’s “certifying official” to complete your paperwork. This paperwork will need to be repeated every year you get your benefits.
STEP 5. Enroll to VA W.A.V.E. website, which tracks your benefits.
https://www.gibill.va.gov/wave/index.do. You will have to visit the website every month and confirm that you still are enrolled to your program. Once you do, you will get your paycheck from the US Treasury about a week later.
How to sign-up for the Post-911 GI Bill
STEP 1. Get accepted into residency/fellowship.
STEP 2a. If you believe that the Post-911 GIB will give you a better payout than the MGIB or not eligible for MGIB, sign-up through PSD (VA FORM 22-1990).
STEP 2b. Ensure that your residency/fellowship is registered with the VA for GI Bill benefits. Search using:
http://inquiry.vba.va.gov/weamspub/buildSearchInstitutionCriteria.do. If your program is not listed, you will need to get it registered. The search results will include both the post-911 GI Bill benefit per month, as well as your program’s “certifying official’s” name.
STEP 3. Upon signing your residency/fellowship contract, also have your program’s “certifying official” to complete your paperwork. This paperwork will need to be repeated every year you get your benefits.
STEP 4. Enroll to VA W.A.V.E. website, which tracks your benefits.
https://www.gibill.va.gov/wave/index.do. You will have to visit the website every month and confirm that you still are enrolled to your program. Once you do, you will get your paycheck from the US Treasury about a week later.
For more details I would recommend going to:
http://www.benefits.va.gov/gibill/
http://whitecoatinvestor.com/using-the-gi-bill-to-boost-residency-pay-guest-post-military-physician-series/
http://forums.studentdoctor.net/threads/important-info-for-new-accessions-gi-bill.485739/