College Graduates One Year Later

Earning a college degree is still worth the cost, say the experts. A recent study by the Federal Reserve Board, for example, finds the rate of return on a bachelor's degree is much greater than the rate of return on other investments.

The Fed's finding may comfort recent college graduates. They need encouragement. That's because most are in debt and not yet making much money, according to a longitudinal study by the National Center for Education Statistics. The study looked at the status of 2015–16 college graduates one year after they received their degree. Here are some of the findings...

• The 67 percent majority had borrowed money to pay for their education, with the average cumulative amount borrowed a hefty $30,500. 
• The median annualized earnings of those who with a full-time job was just $39,900.
• Only 47 percent had a salaried job.
• One in four worked for an employer who did not offer job benefits such as health insurance or a retirement plan. 

Source: National Center for Health Statistics, Baccalaureate and Beyond (B&B:16/17): A First Look at the Employment and Educational Experiences of College Graduates, 1 Year Later