What is a bachelor’s degree worth, as far as student loan debt?
I know people who went to private colleges or went out of state to college and now they have close to $70,000-$90,000 in student loan debt. Is a bachelor’s degree really worth that much? I am trying to get though college the most affordable way I can and they call me cheap. What is the average student loan debt out here these days and is it really necessary?
It actually depends on what you’re going for.
Short answer: a Bachelor’s degree will in general double your income earning potential over just a high school diploma. However what you get paid is determined by the market-ability of your degree. Technical degrees, professional positions, and licenses/certifications as a rule get the higher incomes. There are a number of professions that are chronically underpaid – teachers come to mind.
Good resources for salary and education requirements are the US Department of Labor and the US Bureau of Labor Statistics. Check out the “Occupational Outlook Handbook” and the DOL’s salary calculator.
Now, about big name schools with high-dollar tuitions. Here’s the thing: there are segments of the corporate world where name recognition is huge. For example: a degree in Business from a highly recognized school will get you introduced to people who can open doors for you. If you’re interested in that kind of work, and understand that Who You Know is at least as important as What You Know, then paying your dues for the contacts (and then capitalizing on them) will be worth it – you’ll be in line for a six-figure salary plus bennies within 10 years or so.
My aspirations did not go that way. I got a technical degree from a state school that has a reputation for producing basic, solid technical types. I’ve stuck with a career; not moved around much. Got my student loans paid off in two or three years.
