If you are a scholarship cadet (either an ROTC-scholar or a West Point cadet) you do not begin accruing the GI Bill benefits until after your Commissioning ADSO is complete (4 years for ROTC-scholars and 5 years for West Point). Simply, while you are serving your ADSO for your branch or post of choice or while earning the guaranteed right to attend graduate school, you are simultaneously earning your GI Bill. (Note: non-scholarship ROTC cadets should visit gibill.va.gov to understand how you accrue benefits)
Officers who have an ADSO due to acceptance of the Student Loan Repayment Program (SLRP) are eligible for the Post-9/11 GI Bill but benefits do not accrue until after the completion of the required loan repayment ADSO.
Why participate in Graduate School Option if I can earn the GI Bill?
First, ask yourself this question: "Do I plan to stay in the Army long enough to earn the GI Bill?"
If the answer is yes, then the Graduate School option costs you nothing and you now have graduate degree options both inside and outside the Army! Having both the GI Bill and the Graduate School option gives a mid-grade Captain tremendous flexibility: you can remain on Active Duty, transfer your GI Bill benefits to your dependents and attend Graduate School on the Army; or once you become eligible to get out at the 7 or 8 year mark you depart the Army with highly desirable Company Command experience and the ability to use the GI Bill benefits for yourself. Without both, you have no inside guaranteed option.
Please refer to the following websites for more detailed information about the Post 9/11 GI Bill. You will note that the Post 9/11 GI Bill offers great benefits like receiving BAH based on the location of your school, working with the Yellow Ribbon tuition matching program at high cost private institutions, and providing the ability to Transfer your GI Bill eligibility to your dependents.
http://www.gibill.va.gov/
http://www.armyg1.army.mil/post911gibill.asp
Post 9/11 GI Bill Policy
Post 9/11 Transferability Quick Reference
