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According to a Georgetown University Center on Education and the Workforce study, bachelor’s degree holders can expect median lifetime earnings approaching .3 million, nearly twice as much as workers with only a high school diploma.
Clearly, the investment in a college education will pay off in the long run.
Although ROI can be very personal, below are important factors that all students should consider: To calculate a college’s ROI, the first step is to determine the total cost of college.
While tuition and fees are amounts that most students look at, some tend to overlook other important expenses that can affect total cost.
ROI, or return on investment, is a term that many have probably heard before.
It’s a performance or value metric that can be applied to all sorts of purchases to determine if something is worth one’s money.
According to the College Board, the average cost of tuition and fees for the 2013-2014 school year was ,094 at private colleges, ,893 for state residents at public colleges, and ,203 for out-of-state residents attending public universities.
The reason for making an investment in a college education is, of course, the expected return.
Skyrocketing tuition rates have also lead many to question whether a degree is even worth it.
Because college students will be spending tens of thousands of dollars a year on education, it’s important to determine a college’s ROI before making any commitments.
ROI, however, can be very subjective, and there is no one-size-fits-all calculation.
An important factor to one student may not be as important to another.
For example student A may decide that she needs the personalized attention only found in a small classroom in order to do well, while student B can thrive in a small or large environment.
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