College or Workforce, What benefits you better financially
Written by: Erika Dauphin
As juniors and seniors in high school, our plans for after high school are coming to a close and it is time to make a decision. When teens are asked what their plans after high school are, many might answer with the simple answer as they are attending a university, or community college. Others might be going into the army and some the workforce. Making this decision is a hard one and comes with a lot of thought, contemplation, and time. Going to college can cost a lot of money and many families may not have the money to send their child to college. Many who attend college go into a lot of debt and sometimes don’t pay it off for a while after college. So what is the better decision for a teen financially? Becoming a full time worker and receiving immediate pay? Or is going to college first a better idea? In this article, you will find the pros and the cons of going to college instead of beginning your career.
Some of the main concerns about these questions are the financial aspect of it all. In 2019 college graduates who had a bachelors degree earned $30,000 more per year than those that just had a high school diploma. Someone who earns a bachelor’s degree will, on average, earn almost $1 million more over the course of their lifetime than someone who only has a high school diploma. This shows that a higher salary from a bought education will and can give someone more opportunities. There is also a lower unemployment and poverty rate for college-educated people. According to a study in 2019 by the New York Federal Reserve Bank, young adults ages 22-27 are more likely to be unemployed if they don’t have a college degree. With a college degree, unemployment was 2.2 percent and was 6.5 percent for those who did not posses a degree. For many entry-level jobs a college degree is required. According to another study performed by the Georgetown Public Policy Institute, 65 percent of jobs require postsecondary education and training beyond just high school, 35 percent of jobs require at least a bachelor’s degree.
Along with the pros come the cons and going to college there is the risk of high costs and the risk of potential debt. Student loan debt can put students in college with a huge burden. The College Board estimated that the average cost of attendance for an in-state public college for 2019-20 is $12,710 and a private college averages $36,880. Most students do receive financial aid that covers part of the attendance cost. It is unfortunate that most students don’t receive the aid they need. This then makes them take on student loans to help finance their college education. Student loan debt increased from $260 billion in 2004 to $1.5 trillion in 2019. Student debt can engold a person with much ebt to pay off after college. And your first job of course isn’t going to earn you the top salary for that career. So moving up in the system can take many years if not decades. The average student takes 20 years to pay off student debt, the current average is $32,700 debt per loan. A 2019 study from New York Life polled 2,200 students about their financial mistakes, the average graduate reported taking 18.5 years to pay off their student loans, starting at age 26 and ending at age 45. The gap between a high school and college graduate degree earning is around $17,500, this was a study done by Pew Research Center to figure out the difference in earning between the two.
This chart shows what the earnings are by highest education, comparing a graduate with a high school diploma versus a graduate with a 4-year bachelor's degree.
In the end, it is you and your family's decision on what your future holds. Statistics can show you all the facts you need but it comes down to what each person wants for themselves and what their dreams hold. Going to college and getting a degree may support you better financially in the years to come, but it will take many years to finally pay off student debt. This option though might be giving you a better paycheck in the future that can then help you pay off the student loans. That maybe a person who only has a high school diploma wouldn’t be able to. What also has to be taken into consideration is the workforce students are wanting to go into, some don’t need too much schooling and some need a lot more. This decision every person at some point in their life has to decide. Because money doesn’t grow on trees, you have to earn it.
Works Cited
Benefits of Going to College, www.cabrini.edu/blog/2017-18/benefits-of-going-to-college.
Berkman, Justin. Should You Go to College? 4 Pros and 3 Cons, blog.prepscholar.com/why-should-i-go-to-college.
“Financial Costs and Benefits of College (Article).” Khan Academy, Khan Academy, www.khanacademy.org/college-careers-more/college-admissions/get-started/importance-of-college/a/financial-costs-and-benefits-of-college.
Guide, Founders. “The Pros and Cons of Not Going to College.” Founder's Guide, 22 Sept. 2019, foundersguide.com/the-pros-and-cons-of-not-going-to-college/.
Selingo, Jeffrey. “Perspective | College Students Say They Want a Degree for a Job. Are They Getting What They Want?” The Washington Post, WP Company, 29 Apr. 2019, www.washingtonpost.com/news/grade-point/wp/2018/09/01/college-students-say-they-want-a-degree-for-a-job-are-they-getting-what-they-want/.
“Should You Go to College or Get a Full-Time Job?” Uloop, www.uloop.com/news/view.php/230460/Should-You-Go-to-College-or-Get-a-Full-Time-Job.
this is a good way of showing both the pros and cons of each option, as well as giving good insight if someone were to use this advice.
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ReplyDeleteI thought when you said that student loans increased from $260 billion in 2004 to $1.5 trillion in 2019 that this was absolutely shocking. I also thought it was very interesting how you were talking about how many places require you to have a degree of some sort to be recognized for a job. I think that many people are set on the path to going to college, however, I think that there are a lot of opportunities that don't require you to go to a typical college to be successful.
ReplyDeleteUnemployment may be lower for those with college education, but how many of those young adults are working in the field of their major?
ReplyDeleteIt's very interesting to hear about the pros and cons of both sides. I intend to go to college but I'd be lying to say that I hadn't considered doing otherwise because of the debt college seems to inevitably bring about. The question always seems to be whether the debt you will attain is worth it or not.
ReplyDeleteThis was really good comparison between the pros and cons of high school education and postsecandary education. Most high school juniors and senoirs wont be getting into their major because most people arent going into the trades.
ReplyDeleteThis is a very good way to explain the differences between the two options-- but where, for instance, would an apprenticeship or a community college fall on the scale of debt to unemployment rates? It is a point you brought up in your introduction and I'm slightly curious as to where those options could lead. It is interesting to see the incredible wage difference between those who've gone to a 4-year college and those who immediately went into the workforce.
ReplyDeleteIt's interesting to think about this topic, for many people they don't have dependents and are able to attend college, but for those that do they might need to get income now to support their family. I also wonder if getting a part-time job and/or work study might help offset some of the debt before interest for tuition so that it doesn't accumulate over time and become a bigger and bigger problem.
ReplyDeleteCollege is very important in our lives and it benefits to make the right decision. It was interesting to see the graph about the difference between a highschool diploma and a 4-year bachelor's degree. The difference is $1 million. Attending college will help in the long run. There will be debt that has to be paid off, but after paying all your debt. Your set with a stable job and can continue to make a living.
ReplyDeleteI like how you focused on college students and the pros and cons of their situation, but I think it’s important to mention what the workforce offers as well, since you didn’t go into detail about it in the post. Certain programs with the workforce can allow people to get full tuition for college, which can be extremely beneficial for people if they’re willing to put tons of effort into whatever it is they chose to go into. Even though, like you said, most people receive financial aid and are able to pay off their debts, it may take many years, whereas going into the workforce could eliminate that problem immediately. Furthermore, being in the workforce will be very, very beneficial for anyone looking for jobs, and many jobs will honor it just as highly as getting a college degree. Either way, like you said, it’s really a decision between doing something very difficult but rewarding for a short time, or doing something safer but more difficult in the long-term.
ReplyDeleteI found this article very interesting to understand. It definitely opens up the idea for what is more important to you with the new information you showed in the writing. However, I find it very interesting that the million dollar extra simply from going to college was very fascinating. What do you see yourself doing? Though you didn't talk about the pros and cons of the workforce, is it something that you are considering?
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