Online vs In-Person MHA Rules: Complete Guide for VASCOs
Master Monthly Housing Allowance (MHA) calculations for online, in-person, and hybrid courses under the Post-9/11 GI Bill. Learn the rules, avoid common mistakes, and help students understand their housing payments.
Most Common VASCO Certification Error
Incorrectly certifying online courses as in-person (or vice versa) is one of the most frequent certification mistakes leading to overpayments. MHA miscalculations can result in thousands of dollars in overpayments that students must repay. This guide will help you avoid these costly errors.
What Is Monthly Housing Allowance (MHA)?
Monthly Housing Allowance (MHA) is a living stipend paid to Post-9/11 GI Bill (Chapter 33) students to help cover housing costs while pursuing education. The amount varies significantly based on where the student attends classes and how they attend (online vs. in-person).
Key MHA Facts
- •Only for Chapter 33: MHA is paid only under Post-9/11 GI Bill. Other chapters have different housing payment structures.
- •Based on BAH: In-person MHA is based on the Department of Defense Basic Allowance for Housing (BAH) rate for an E-5 with dependents at the school's zip code.
- •Prorated: MHA is paid only for the days enrolled, not full months (calculated daily).
- •Training Time Dependent: Students must be enrolled at least half-time (or more than half-time for some programs) to receive MHA.
- •Not Paid During Breaks: MHA stops during breaks between terms (e.g., winter break, spring break).
Why MHA Matters to VASCOs
Proper MHA certification is critical because:
- Overpayments: Incorrect certifications lead to overpayments that students must repay (often thousands of dollars)
- Student Financial Planning: Students rely on accurate MHA estimates for budgeting and housing decisions
- Compliance: Systematic MHA errors trigger compliance reviews and corrective action plans
- Student Retention: Unexpected debt from MHA overpayments can force students to drop out
In-Person MHA: The Full Rate
In-Person MHA Rate
Full BAH rate for an E-5 with dependents at the school's primary location zip code
This rate varies significantly by location—ranging from approximately $1,000/month in low-cost areas to $3,000+/month in high-cost cities.
What Qualifies as "In-Person"?
Traditional Classroom Instruction
Student physically attends classes at the institution's campus location. This is the most straightforward in-person enrollment.
Hybrid Courses with Majority In-Person
If more than 50% of instruction occurs in-person at a campus location, the course qualifies for in-person MHA.
Example: A course meets in-person on campus 2 days per week, with 1 day of online instruction. Majority is in-person → In-person MHA rate.
Lab, Clinical, or Practicum Requirements
Courses with mandatory in-person components (labs, clinicals, internships) that require physical presence at a campus or clinical site typically qualify for in-person MHA if the in-person component exceeds 50% of instruction.
Foreign School In-Person Attendance
Students attending approved foreign schools in-person receive MHA based on the foreign school's location zip code (or equivalent BAH rate).
💡 In-Person MHA Example Calculation
School: University of Texas at Austin (Zip: 78712)
BAH Rate for E-5 with dependents: $1,980/month (2024 rate - example)
Student Enrollment: Full-time (12 credits), all in-person courses
Semester Dates: August 21 - December 15 (117 days)
Monthly MHA Payment: $1,980/month
Total for Semester: Approximately $7,524 (117 days × daily rate)
Online MHA: The National Rate
Online MHA Rate
One-half the national average BAH for an E-5 with dependents
As of 2024, the online-only MHA rate is $988.50 per month (this rate is adjusted annually).
This rate is the same regardless of where the student lives or where the school is located.
What Qualifies as "Online"?
Distance Learning Courses
Courses delivered entirely via internet, video conferencing, or correspondence. No physical campus attendance required.
Asynchronous Online Courses
Self-paced courses where students access recorded lectures, complete assignments, and take exams online without scheduled meeting times.
Synchronous Online Courses
Live virtual classes via Zoom, Teams, or other platforms—even if scheduled at specific times. If students attend from home (not on campus), it's online for MHA purposes.
⚠️ Common Confusion: "But the class meets at specific times!" → Doesn't matter. If students don't physically attend a campus location, it's online MHA.
Hybrid Courses with Majority Online
If more than 50% of instruction occurs online (student not physically present on campus), the course qualifies for online MHA.
🚨 Critical Rule for Entirely Online Programs
If a student is enrolled in a program that is offered entirely online by the institution, they receive the online MHA rate even if they choose to go to campus to use the library or study spaces.
Example: A university offers an "Online MBA" program. Even if a student lives near campus and studies in the library every day, they still receive online MHA because the program itself is designated as entirely online.
💡 Online MHA Example Calculation
School: University of Phoenix (entirely online program)
National Online MHA Rate: $988.50/month (2024 rate - example)
Student Enrollment: Full-time (12 credits), all online courses
Semester Dates: September 1 - December 20 (111 days)
Monthly MHA Payment: $988.50/month
Total for Semester: Approximately $3,655 (111 days × daily rate)
Hybrid Enrollment: Mixed Online and In-Person
Many students take a mix of online and in-person courses in the same term. This is where MHA calculations get complex—and where many certification errors occur.
The Hybrid MHA Rule
When a student takes BOTH online and in-person courses in the same term:
- 1.Determine the total training time (credit hours or clock hours) for each course
- 2.Calculate what percentage of total training time is in-person vs. online
- 3.If more than 50% in-person → Full in-person MHA
- 4.If 50% or less in-person → Online MHA
Hybrid Enrollment Examples
Example 1: Majority In-Person → Full MHA
Student Enrollment:
- • Math 101 (3 credits) - In-Person
- • English 102 (3 credits) - In-Person
- • History 201 (3 credits) - In-Person
- • Psychology 101 (3 credits) - Online
- Total: 12 credits
Calculation: 9 credits in-person ÷ 12 total credits = 75% in-person
✅ Result: Student receives full in-person MHA (e.g., $1,980/month for Austin, TX)
Example 2: Majority Online → Online MHA
Student Enrollment:
- • Biology 101 (4 credits with lab) - In-Person
- • Accounting 201 (3 credits) - Online
- • Marketing 301 (3 credits) - Online
- • Statistics 200 (3 credits) - Online
- Total: 13 credits
Calculation: 4 credits in-person ÷ 13 total credits = 31% in-person (less than 50%)
💻 Result: Student receives online MHA ($988.50/month) even though they attend one class on campus
Example 3: Exactly 50% → Online MHA
Student Enrollment:
- • Chemistry 101 (3 credits) - In-Person
- • Physics 101 (3 credits) - In-Person
- • English 201 (3 credits) - Online
- • Sociology 101 (3 credits) - Online
- Total: 12 credits
Calculation: 6 credits in-person ÷ 12 total credits = 50% in-person
💻 Result: Student receives online MHA ($988.50/month)
Rule: Must be more than 50% in-person for full MHA. Exactly 50% = online rate.
Example 4: Hybrid Course Classification
Course Details:
Nursing 301 (4 credits): Lectures online (2 hours/week), Clinical rotations in-person (6 hours/week)
Calculation: 6 hours in-person ÷ 8 total hours = 75% in-person
✅ Result: This course counts as in-person for MHA calculation purposes
⚠️ Common VASCO Error: Course-by-Course vs. Overall Calculation
INCORRECT: Determining each course as in-person or online, then deciding MHA separately for each course.
CORRECT: Look at the entire enrollment for the term and calculate the overall percentage of in-person vs. online training time.
VA pays one MHA rate for the entire term based on the overall split, not separate rates for separate courses.
Special MHA Situations
Independent Study and Directed Research
Independent study, thesis work, or directed research courses are generally considered in-person if the student meets regularly with a faculty advisor on campus.
Guideline: If the student is required to be on campus at least 50% of the expected course time (even if for meetings, lab work, or research), it counts as in-person.
Temporary Online Due to COVID-19 or Emergency
If courses that were scheduled and approved as in-person are temporarily moved online due to a pandemic, natural disaster, or other emergency, students may continue to receive the in-person MHA rate if the VA issues guidance permitting this.
⚠️ Important: This exception requires VA authorization. Always check current VA guidance and coordinate with your ELR (Education Liaison Representative). Do NOT assume emergency online courses automatically qualify for in-person MHA.
Internships and Externships
Internships, externships, practicums, and clinical placements where the student reports to a physical site are considered in-person.
MHA Location: MHA is based on the zip code of where the student actually attends the internship/externship, which may be different from the main campus location.
Multiple Campus Locations
If a student attends courses at multiple physical campus locations in the same term, MHA is based on the location where they spend the majority of training time.
Example:
Student takes 9 credits at Main Campus (Dallas, TX) and 3 credits at Satellite Campus (Fort Worth, TX). Majority of training is in Dallas → MHA based on Dallas zip code.
Solely Dependent on Military Orders (Active Duty)
Active duty service members do not receive MHA while on active duty. They receive the basic monthly stipend (currently $985.26/month for full-time) instead, regardless of whether courses are online or in-person.
This section applies to veterans and dependents, not active duty personnel using Chapter 33.
MHA Certification Best Practices for VASCOs
Step-by-Step Certification Checklist
Obtain the Student's Class Schedule
Get the complete schedule showing all courses, credit hours, and delivery method (in-person, online, hybrid) for each course.
Classify Each Course
For each course, determine if it is:
- • 100% in-person (all instruction on campus)
- • 100% online (all instruction remote)
- • Hybrid (mixed—then determine what % is in-person vs. online)
Calculate Total In-Person vs. Online Training Time
Sum up all in-person credit hours and all online credit hours. Calculate the percentage of in-person training time.
Apply the >50% Rule
If more than 50% of training time is in-person → certify as in-person
If 50% or less is in-person → certify as online
Certify in Enrollment Manager
In Enrollment Manager, indicate whether the enrollment is:
- • "Residence" (in-person) → Full MHA
- • "Online" (distance learning) → Online MHA
Document Your Determination
Keep records showing how you calculated the in-person percentage. This documentation is essential if the VA audits the certification.
Inform the Student
Tell the student what MHA rate they'll receive and explain how it was calculated. This prevents surprises and helps with their financial planning.
Sample Documentation Template
MHA DETERMINATION WORKSHEET
Student Name: John Smith
Student ID: 123456789
Term: Fall 2024
Certification Date: August 15, 2024
ENROLLMENT BREAKDOWN:
| Course | Credits | Type |
|---|---|---|
| MATH 201 | 3 | In-Person |
| ENG 102 | 3 | In-Person |
| HIST 101 | 3 | Online |
| PSYC 201 | 3 | Online |
| TOTAL | 12 | -- |
CALCULATION:
In-Person Credits: 6
Online Credits: 6
Percentage In-Person: 50%
DETERMINATION:
50% in-person (not more than 50%)
Certified as: ONLINE (Distance Learning)
MHA RATE:
$988.50/month (national online rate)
Certified by: Jane Doe, SCO
Date: August 15, 2024
💡 Pro Tip: Create a Standard Process
Develop a standard MHA determination worksheet that you complete for every student every semester. Consistency in your process reduces errors and creates an audit trail. Store these worksheets with your certification documents.
Common MHA Certification Mistakes to Avoid
❌ Mistake #1: Certifying Synchronous Online as In-Person
Error: "The class meets at 10am on Zoom every Monday/Wednesday/Friday, so it's in-person because it has a set schedule."
Why It's Wrong: Scheduled meeting times don't determine in-person vs. online. Physical presence on campus is what matters.
Correct Classification: If students attend via Zoom from home, it's online regardless of schedule structure.
❌ Mistake #2: Using Previous Semester's Classification Without Verification
Error: "This student was certified as in-person last semester, so I'll just certify them the same way this semester."
Why It's Wrong: Students' course mixes change every semester. A student who was 75% in-person last term might be 40% in-person this term.
Correct Approach: Recalculate the in-person percentage EVERY semester for EVERY student.
❌ Mistake #3: Not Accounting for Lab vs. Lecture Credit Split
Error: "Biology 101 with lab is 4 credits and all in-person, but the student also listed it as having an online lecture component. I counted all 4 credits as in-person."
Why It's Wrong: If part of the course is online (lectures) and part is in-person (lab), you must split the credits proportionally.
Correct Approach: If the course is 3 hours lecture (online) and 1 hour lab (in-person), classify it as 25% in-person, 75% online.
❌ Mistake #4: Relying Only on Student's Statement
Error: "The student said all their classes are in-person, so I certified them as in-person without checking the actual course delivery methods."
Why It's Wrong: Students often don't understand the distinction or may not realize some of their courses have online components.
Correct Approach: Verify the delivery method for each course using the course schedule, course catalog, or registrar records.
❌ Mistake #5: Changing MHA Classification Mid-Semester Without Amendment
Error: "I realized I certified the student incorrectly two months ago, but the semester is almost over, so I'll just fix it next semester."
Why It's Wrong: Delaying the correction means the student continues to receive the wrong MHA amount, increasing the overpayment (or underpayment) debt.
Correct Approach: Submit an amendment in Enrollment Manager immediately upon discovering the error, even mid-semester. The VA will adjust payments going forward.
Communicating MHA Rates to Students
Students are often confused or disappointed when they learn they'll receive online MHA instead of in-person MHA. Clear communication is essential to manage expectations and help students make informed enrollment decisions.
Sample Student Communication: Online MHA Explanation
"I wanted to let you know about your Monthly Housing Allowance (MHA) for this semester. Based on your course enrollment, you'll be receiving the online MHA rate of $988.50 per month."
"Here's why: You're enrolled in 12 credits this semester. Of those, 4 credits are in-person classes on campus, and 8 credits are online courses. Because less than half of your training time (only 33%) is in-person, the VA pays the national online rate rather than the in-person rate for our location."
"I know this might be less than you were expecting. If you'd like to receive the in-person MHA rate ($2,100/month for our location), you would need to enroll in courses where more than half of your credit hours are in-person classes on campus."
"If you want to adjust your schedule before the drop/add deadline, you're welcome to do so. For example, if you switched one of your 3-credit online courses to an in-person course, you'd be at 58% in-person and would qualify for the full in-person MHA rate."
"Let me know if you have questions or want to discuss your options!"
💡 Best Practice: MHA Estimate at Registration
Provide students with an MHA estimate before they finalize their course registration for the semester. This allows them to adjust their course mix if the MHA amount is critical to their financial planning. Many students would choose differently if they knew the MHA implications in advance.
Sample Student Handout: Understanding Your MHA
UNDERSTANDING YOUR MONTHLY HOUSING ALLOWANCE (MHA)
What is MHA?
MHA is a living stipend paid to Post-9/11 GI Bill students to help cover housing costs while you're enrolled.
How is MHA calculated?
Your MHA amount depends on whether you're taking courses primarily in-person or primarily online:
- • More than 50% in-person: You receive the full in-person rate based on our school's zip code
- • 50% or less in-person: You receive the national online rate ($988.50/month)
Example:
If you're taking 12 credits and 8 of them are online courses, you're 33% in-person → online MHA rate
Planning Your Schedule:
If MHA amount is important to your budget, consider taking more in-person courses to qualify for the higher rate. Contact our office before registering if you want help calculating your expected MHA.
Questions? Contact [Your Name], School Certifying Official
[Contact Information]
Automate MHA Calculations and Eliminate Errors
Stop manually calculating in-person percentages and risking costly overpayment mistakes
VASCO Pro Software automatically:
Related Resources
First-Time VASCO Survival Guide
New to the VASCO role? Get your complete onboarding roadmap for the first 90 days.
Read Guide →Understanding the Delimiting Date
Master delimiting date calculations and help students maximize benefits before expiration.
Read Guide →Yellow Ribbon Best Practices
Complete guide to Yellow Ribbon program management, agreements, and common mistakes.
Read Guide →Compliance Survey Preparation
Comprehensive guide to preparing for and responding to VA compliance surveys.
Read Guide →About VASCO Assistant
VASCO Assistant provides training, resources, and software tools for Veterans Affairs School Certifying Officials. Our team includes former VASCOs, VA education specialists, and compliance experts dedicated to helping school certifying officials navigate the complexities of VA education benefits. We provide comprehensive guides, templates, and automation tools to make your job easier and ensure accurate benefit administration.