Decades of research consistently demonstrate the significant benefits of obtaining a college degree. For many years, getting a college or university degree was a safe way to ensure financial well-being in the future. However, due to increasing fees and inflation in recent years, many question whether college is still worth it. The research is here, and the answer is Yes. But of course, your chosen study program matters.
According to CNBC, newly released data from the Federal Reserve Bank of New York reveals that in the United States, recent college graduates in full-time positions earn approximately $24,000 more annually compared to individuals with only a high school diploma.
Furthermore, a report titled “The College Payoff” from the Georgetown University Center on Education and the Workforce indicates that completing college leads to a median lifetime earnings of $2.8 million, contrasting with $1.6 million for those with only a high school degree.
According to this report, bachelor’s degree holders typically earn 75% more over their careers, with higher levels of educational attainment often resulting in larger financial rewards.
Which study programs are worth it the most?
Naturally, the choice of study program significantly influences these outcomes, as indicated by recent research. Engineering and computer science majors, followed by business, health, and math and science majors, yield the highest returns in lifetime earnings. Conversely, education, humanities, and arts majors tend to have lower returns.
According to this study, despite improved labor market outcomes for individuals without a college degree, the benefits of higher education persist. Factors considered in the analysis include wage differentials, tuition, financial aid, and the opportunity cost of delaying full-time employment.
Another study lead by Georgetown also shown that students who pursue a major specifically in science, technology, engineering and math — collectively known as STEM disciplines — are projected to earn the most overall. Health and business majors also rank among the top earners, with significantly higher average annual wages compared to liberal arts and humanities majors.
Our take at BIC
At Budapest International College, we also believe that higher education (especially in the fields of engineering, computer science & business) cannot and will not be replaced by other career alternatives in the near future, due to the extensive amount of know-how and skills needed for these career paths.
Even though the hegemony of higher education institutions might decrease, for many career paths, colleges and universities will always be the only way. So yes, college is still worth it, and will be worth it for the foreseeable future.
