There have been many posts and threads on choosing a college and a major, while considering potential earnings.
A 2021 report provides several key findings.Is College Worth It? A Comprehensive Return on Investment Analysis
by Preston Cooper
Oct 19, 2021
Some degrees are worth millions, while others have no net financial value. The biggest factor is your major.
This report estimates return on investment (ROI) — the increase in lifetime earnings minus the costs of college — for nearly 30,000 bachelor’s degrees.
For students who graduate on time, the median bachelor’s degree has a net ROI of $306,000. But some degrees are worth millions of dollars, while others have no net financial value at all.
After accounting for the risk of dropping out, ROI for the median bachelor’s degree drops to $129,000. Over a quarter of programs have negative ROI.
Four in five engineering programs have ROI above $500,000, but the same is true for just 1% of psychology programs.
Elite schools such as Caltech and Penn dominate the list of highest ROI programs. But attending an elite school is not a golden ticket; some Ivy League degrees have negative ROI.
A recently released report makes recommendations, based on research regarding
return-on-investment experiences in one state.
• Transparency about ROIs should be
required. Universities should be required
to disclose information about the lifetime
return-on-investment from majors that
students are considering, along with the
average debt load and monthly payments.
• Performance-Based Funding for
Universities. Universities with high student
default rates and many students in low ROI
majors should face funding consequences.
Those at the other end of the spectrum
should potentially be rewarded.
The Occupational Outlook Handbook (OOH) provided by the US Dept of Labor, Bureau of Labor Statistics (BLS), remains a solid source of pertinent information on many careers.https://www.bls.gov/ooh/home.htm