A bill to amend chapter 30 of title 38, United States Code, with respect to the Montgomery GI Bill.

Amends Federal veterans' benefits provisions concerning the basic educational assistance program for active-duty and reserve members of the armed forces to require an individual to choose whether or not to participate in such program at the close of such individual's basic training period. (Currently, such decision is required to be made at the time the individual enters into active duty as a member of the active or reserve forces.) Revises provisions concerning the amount of monthly basic pay to be deducted from the pay of an individual who chooses to participate in the basic educational assistance program to allow deductions over a 24-month period.

Authorizes a member of the armed forces who is entitled to such basic educational assistance to transfer to one or more of such member's dependents all or any part of such member's entitlement to such assistance. Directs the Secretary of the military department concerned and the Administrator to prescribe regulations concerning the transfer of such member's basic educational assistance entitlement. Provides such assistance to the person to whom such entitlement is transferred under the same terms and conditions as apply to the member, except that such assistance may only be provided: (1) while the member originally entitled to such assistance continues on active duty; or (2) upon the death, discharge, or completion of active duty by the member originally entitled to such assistance. Prohibits such assistance from being transferred to an individual other than a child, spouse, or surviving spouse of the member originally entitled to such assistance.