Is college or postsecondary study really necessary?

• Over the past quarter century, wage gaps between workers with different education levels have increased, largely due to falling real earnings for those with less education.
• Real weekly earnings for workers with less than a high–school diploma fell from $462 in 1979 to $337 in 1998. This downward trend continued for all workers who were not college graduates.
• Twenty years ago, the average college graduate earned 38 percent more than the average high-school graduate. Today, it is 71% more.
• Occupations requiring a bachelor’s degree will grow almost twice as fast as the overall average.
• The three fastest growing occupations, require at least a bachelor’s degree and have higher average earnings.
• All of the 20 highest paying occupations require at least a bachelor’s degree.

Educational Level		Years in Work–place	Average Annual Income (US Census Bureau, ‘00)	Average Monthly Income	Lifetime Income (annual income x years in workforce)	Estimated Cost of Degree (Average)	Net Lifetime Benefit (lifetime income – cost of degree)
High School Graduate		47	$28,800	$2,400	1,353,600	$0.00	$1,353,600.
Associate Degree		45	$35,400	$2,950	1,593,000	$4,000	$1,589,000
Bachelor’s Degree		43	$46,300	$3,858	2,083,500	$32,000	$2,051,500
Master’s Degree		42	$55,300	$4,608	2,377,900	$40,000	$2,337,900
Doctorate		37	$70,500	$5,875	2,608,500	$58,000	$2,550,500
Professional (Doctor, Lawyer)		37	$80,200	$6,683	2,967,400	$75,000	$2,892,400

From the Department of Labor Statistics, 2000.

Source: Building a College Culture by Leslie Hays (Powerpoint)

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