In today’s environment with rising education expenses, some are asking the question of if a college education is still worth the investment. Every parent wants to do the most that they can to set their child up for success, but many are beginning to ask the questions. Below I have outlined some benefits and why people are asking the question to give you a better perspective of deciding if a college education is worth it.
Benefits
- According to the National Center for Education Statistics, the typical bachelor degree holder earns $18,500 more per year than those with just a high school diploma. There is an average 7% rate of return for a degree.
- College graduates report being happier and more satisfied with their work. They are less likely to be unemployed, less likely to divorce, and more likely to live longer and healthier lives.
- Many believe that a college education is an enriching experience that allows students the chance to grow, learn, explore and challenge themselves like nothing else.
Complaints
- The rising costs of obtaining a degree. Most college students today incur education debt and the amounts borrowed are significantly rising. A study released last year by the Institute for College Access & Success found that nearly two-thirds of students who earned a bachelor’s degree in 2017 used loans to help pay for college.
- For those graduating with school debt, the average debt load — not including any loans taken out by parents — was $28,650, 23% higher than for students who graduated a decade earlier.
- According to the National Financial Capability Study carried out in 2016, student debt is a rising concern for student. Over half of the respondents said they would take a different course of action when it came to taking out student loans if they had the chance to do it again. Worse yet, nearly 30% of respondents indicated that they did not complete their program for which they took out a student loan.
I still believe college education is worth the investment, but given the higher costs today, I think you need to be more careful in deciding where you go and what degree you get.