Officials in higher education are increasingly encouraged to demonstrate the diverse personal and societal benefits associated with obtaining a college degree, as highlighted by a former university president.
Research has consistently illustrated the correlation between college degrees and improved employment outcomes, as well as increased earning potential for graduates. However, the advantages of higher education extend beyond mere financial metrics. Evidence indicates that various factors, including financial security, access to essential benefits, and healthier lifestyle choices, contribute significantly to the overall value of a college education.
Moreover, the broader society benefits from a well-educated population. Graduates typically earn higher salaries, which translates to increased tax contributions at local, state, and federal levels. Those with college degrees also demonstrate lower reliance on social support programs, such as unemployment assistance, and exhibit higher rates of civic engagement, including participation in voting and philanthropic activities.
Key Benefits of Obtaining a College Degree
Several key benefits associated with obtaining a college degree can be employed by higher education leaders to articulate the return on investment (ROI) for college education:
Earnings
Data indicates that individuals with a college degree earn significantly more than those without one. According to a report from the College Board, median incomes for full-time bachelor’s degree holders in 2021 were approximately $29,000 higher—65% more—compared to high school graduates. Over their lifetime, college graduates can expect to earn around $1.2 million more than their peers without a degree.
Employment Opportunities
College graduates typically benefit from better job opportunities and greater job security. The College Board reported that between 2002 and 2022, the unemployment rate for individuals with at least a bachelor’s degree was about half that of high school graduates. In 2023, the unemployment rate was recorded at 2.2% for bachelor’s degree holders, contrasted with 3.9% for individuals without degrees.
Employment-Related Benefits
Graduates are more likely to have access to employer-sponsored health insurance and retirement plans. The College Board found that almost half (45%) of full-time private sector employees with bachelor’s degrees had access to retirement plans, compared to 38% of their counterparts without college degrees. In the public sector, this figure rose to 75% for bachelor’s degree holders.
Healthy Habits and Longevity
Studies suggest that individuals with a college education tend to lead healthier lifestyles and enjoy longer life expectancies. Those holding bachelor’s degrees are nearly four times less likely to smoke and engage more frequently in regular exercise.
Reduced Poverty and Public Assistance Rates
Higher educational attainment is associated with lower poverty rates. In 2021, only 4% of bachelor’s degree holders lived in poverty, while the rate was 13% for high school graduates. Graduates are also less likely to rely on government assistance programs.
Civic Engagement and Philanthropy
Educational attainment has been linked to increased civic participation and charitable contributions. In the most recent presidential election, 77% of college graduates aged 25 to 44 voted, compared to 46% of high school graduates. Additionally, college-educated individuals are more likely to volunteer and donate to charitable causes.
In summary, discussions regarding the return on investment in higher education should encompass a broad spectrum of fact-based benefits. By articulating these diverse advantages, college leaders can more effectively advocate for the value of a college education, particularly as discussions around educational funding and policy continue to evolve in the coming years.
Source: Higher Ed Dive