If you graduated in college in the 70s, chances are you have a good life now with the decent paying job that you have. But today, going into college could only mean two things—getting a successful career and bankruptcy. Many families are getting into debt sending their children to college. The rising costs of tuition and the wrong choice of degree that does not pay off will lead any family into bankruptcy. More and more people believe that going to college might mean more harm than good most especially for low-paying degrees.
The costs of tuition are unfortunately rising higher and faster than pay. In fact, the average pay for a full time employee that has attained a bachelor’s degree with the age of 24 and older isn’t keeping pace with the degree costs.
For the first time in history, the debt of students exceeds credit card debts as more families have struggled affording tuition.
Low-pay degrees no longer pay off which left graduates struggling paying their debts.
Approximately, one needs to spend $109,000 on tuition alone for any 4-year undergraduate education at average private schools.
Families have been strongly against the increased tuition particularly in for-profit institutions. That is because most of them have high debts due to high loan defaults rates. I don’t know how many times I’ve heard parents say “We need to get help here, we can’t afford to send all our kids to university”. This is heartbreaking for parents who work hard to provide the best futures for their kids.
Students and their families may have to decide about not going to college especially because there are ways one can land into a job even without a degree. But most of the time this decision can be wrong either because people with college degree or master’s degree have better chances of getting good paying jobs. The key is to choose the right degree, one that pays off better but won’t get the family into unaffordable debts.