85/15 Rule (85% Rule)

Overview

The 85/15 Rule is a federal regulation designed to protect Servicemembers and Veterans from fraudulent educational programs. It restricts educational institutions from having more than 85% of their students funded through VA or DoD educational benefits.

BLUF: The 85/15 rule protects you from predatory schools. If more than 85% of a school's students are on GI Bill, that's a red flag. The rule exists because scam schools love veteran money. Don't be the mark.

Core Rule

Programs cannot have more than 85% of students using VA or DoD educational funding. This primarily affects those utilizing the GI Bill.

Exceptions to the Policy

The rule does NOT apply to:

• Non-tuition educational institutions (on-the-job training, apprenticeships)
• Farm cooperative training courses
• Flying clubs operating under Armed Forces regulations
• Veterans pursuing high school diplomas or equivalency certificates
• Programs with fewer than 10 students

Special Approvals that bypass the rule: - DoD Tuition Assistance (TA) - Veterans Readiness and Employment (VR&E) - Dependents Educational Assistance (DEA)

Institutions may request waivers to allow program continuation despite violations.

Key Protections for Current Students

If your program violates the rule while you're enrolled, you remain protected. However, "if you take a semester off and try to rejoin, you will be prevented from using VA education benefits until the program returns to proper ratio" (unless using VR&E or DEA).

How to Check Your Program's Status

Contact your school's School Certifying Official (SCO) to determine enrollment ratios.

References

• 38 CFR § 21.4201
• Public Law 96-342 (section 901)
• Public Law 117-174: Ensuring the Best Schools for Veterans Act of 2022
• VA Benefits Education and Training resources