Title 38Veterans' BenefitsRelease 119-73

§3018 Opportunity for certain active-duty personnel to withdraw election not to enroll

Title 38 › Part PART III— - READJUSTMENT AND RELATED BENEFITS › Chapter CHAPTER 30— - ALL-VOLUNTEER FORCE EDUCATIONAL ASSISTANCE PROGRAM › Subchapter SUBCHAPTER II— - BASIC EDUCATIONAL ASSISTANCE › § 3018

Last updated Apr 6, 2026|Official source

Summary

Gives certain active-duty service members a one-time chance, from December 1, 1988, to June 30, 1989, to cancel a previous election made under sections 3011(c)(1) or 3012(d)(1) not to enroll in VA benefits. To qualify, a person must have first joined or first gone on active duty between July 1, 1985, and June 30, 1988, have served continuously since then, and be on active duty during the open period. To keep the benefit, the member must withdraw the earlier election during the open period and generally serve the required period of service. Early discharge still lets them qualify if it is for a service-connected disability, certain medical or hardship reasons as the military decides, or if it is a government convenience discharge after at least 20 months when the obligated term was under three years or after at least 30 months when it was three years or more, or due to a reduction in force. Before applying they must have a high school diploma (or equivalent) or 12 semester hours of college credit. After the obligated period they must have honorable or comparable status (honorable discharge, retirement, Fleet Reserve/Fleet Marine Corps Reserve, temporary disability retirement, continued active duty, or an honorable transfer to the reserves). Their basic pay will be reduced by $1,200 (or a smaller amount if a discharge prevents the full reduction). The withdrawal is final and cannot be undone.

Full Legal Text

Title 38, §3018

Veterans' Benefits — Source: USLM XML via OLRC

(a)Notwithstanding any other provision of this chapter, during the period beginning December 1, 1988, and ending June 30, 1989 (hereinafter in this section referred to as the “open period”), an individual who—
(1)first became a member of the Armed Forces or first entered on active duty as a member of the Armed Forces during the period beginning July 1, 1985, and ending June 30, 1988;
(2)has continuously served on active duty without a break in service since the date the individual first became such a member or first entered on active duty as such a member; and
(3)is serving on active duty during the open period,
(b)An individual described in clauses (1) through (3) of subsection (a) of this section who made an election under section 3011(c)(1) or 3012(d)(1) of this title and who—
(1)while serving on active duty during the open period, makes a withdrawal of such an election;
(2)continues to serve the period of service which, at the beginning of the open period, such individual was obligated to serve;
(3)(A)serves the obligated period of service described in clause (2) of this subsection;
(B)before completing such obligated period of service, is discharged or released from active duty for (i) a service-connected disability, (ii) a medical condition which preexisted such service and which the Secretary determines is not service connected, (iii) hardship, or (iv) a physical or mental condition that was not characterized as a disability and did not result from the individual’s own willful misconduct but did interfere with the individual’s performance of duty, as determined by the Secretary of each military department in accordance with regulations prescribed by the Secretary of Defense (or by the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service of the Navy); or
(C)before completing such obligated period of service, is (i) discharged or released from active duty for the convenience of the Government after completing not less than 20 months of such period of service, if such period was less than three years, or 30 months, if such period was at least three years, or (ii) involuntarily discharged or released from active duty for the convenience of the Government as a result of a reduction in force, as determined by the Secretary concerned in accordance with regulations prescribed by the Secretary of Defense;
(4)before applying for benefits under this section—
(A)completes the requirements of a secondary school diploma (or equivalency certificate); or
(B)successfully completes (or otherwise receives academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree; and
(5)upon completion of such obligated period of service—
(A)is discharged from service with an honorable discharge, is placed on the retired list, is transferred to the Fleet Reserve or Fleet Marine Corps Reserve, or is placed on the temporary disability retired list;
(B)continues on active duty; or
(C)is released from active duty for further service in a reserve component of the Armed Forces after service on active duty characterized by the Secretary concerned as honorable service,
(c)The basic pay of an individual withdrawing, under subsection (b)(1) of this section, an election under section 3011(c)(1) or 3012(d)(1) of this title shall be reduced by—
(1)$1,200; or
(2)in the case of an individual described in clause (B) or (C) of subsection (b)(3) of this section whose discharge or release from active duty prevents the reduction of the basic pay of such individual by $1,200, an amount less than $1,200.
(d)A withdrawal under subsection (b)(1) of this section is irrevocable.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2002—Subsec. (b)(3)(B)(iv). Pub. L. 107–296 substituted “of Homeland Security” for “of Transportation”. 2000—Subsec. (b)(4). Pub. L. 106–419 amended par. (4) generally. Prior to amendment, par. (4) read as follows: “before completing such obligated period of service (i) has completed the requirements of a secondary school diploma (or an equivalency certificate), or (ii) has successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree; and”. 1998—Subsec. (b)(4)(ii). Pub. L. 105–368 substituted “successfully completed (or otherwise received academic credit for)” for “successfully completed”. 1992—Subsec. (b)(3)(B)(iv). Pub. L. 102–568 added cl. (iv). 1991—Pub. L. 102–83, § 5(a), renumbered section 1418 of this title as this section. Subsec. (a). Pub. L. 102–86 made technical amendment to directory language of Pub. L. 101–237, § 423(b)(4)(A). See 1989 Amendment note below. Pub. L. 102–83, § 5(c)(1), substituted “3011(c)(1) or 3012(d)(1)” for “1411(c)(1) or 1412(d)(1)” in concluding provisions. Subsec. (b). Pub. L. 102–83, § 5(c)(1), substituted “3011(c)(1) or 3012(d)(1)” for “1411(c)(1) or 1412(d)(1)” in introductory provisions. Subsec. (b)(4). Pub. L. 102–16 substituted “service (i)” for “service,” and added cl. (ii). Subsec. (c). Pub. L. 102–83, § 5(c)(1), substituted “3011(c)(1) or 3012(d)(1)” for “1411(c)(1) or 1412(d)(1)” in introductory provisions. 1989—Subsec. (a). Pub. L. 101–237, § 423(b)(4)(A), as amended by Pub. L. 102–86, inserted “of Defense” after “Secretary” in concluding provisions. Subsec. (b)(3)(B). Pub. L. 101–237, § 423(b)(1)(A), substituted “Secretary” for “Administrator”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2002 AmendmentAmendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of Title 10, Armed Forces.

Effective Date

of 1998 AmendmentAmendment by Pub. L. 105–368 effective Oct. 1, 1998, see section 203(b) of Pub. L. 105–368, set out as a note under section 3011 of this title.

Effective Date

of 1992 Amendment Pub. L. 102–568, title III, § 309(b), Oct. 29, 1992, 106 Stat. 4329, provided that: “The amendment made by subsection (a) [amending this section] shall take effect as if enacted on December 1, 1988.”

Effective Date

of 1991 Amendment Pub. L. 102–86, title V, § 506(b), Aug. 14, 1991, 105 Stat. 426, provided that the amendment made by section 506(b)(2) is effective as of Dec. 18, 1989.

Reference

Citations & Metadata

Citation

38 U.S.C. § 3018

Title 38Veterans' Benefits

Last Updated

Apr 6, 2026

Release point: 119-73