5 smart reasons to skip college
A lot of people are going to college unnecessarily -- or for the wrong reasons. For many, there are strong arguments against college.
When I was younger, the plan for my future was pretty straightforward. You go to high school to learn, get good grades, and get into a good college. You go to college to get good grades and then get a good job. After that, just circle the mouse wheel until retirement.
- Calculator: Are you saving enough for college?
OK, that last part about the wheel was my own addition, but that basically was my "job" as a kid. That plan worked for me, and it's the path many people have walked with great success. But it's not the only path.
With the government looking at additional regulation of for-profit colleges, I started to wonder again whether college is "worth it." In general, it is. However, recently with all these for-profit schools, a lot of people are going to college unnecessarily. They're being promised things that the schools can't deliver. They're being sold something they don't need, depending on what they want to do, and they're only buying it because we've put "college" on a pedestal. In this Devil's Advocate post, I explain why you might want to skip college.
Most colleges don't teach skilled trades. Colleges are good at teaching things best learned in a classroom or a laboratory -- philosophy, chemistry, physics, mathematics, psychology and such. They are not as good at teaching skilled trades like being a mechanic or a welder or a fisherman. For skilled trades, you are better off going the route of an apprenticeship or a vocational school that specializes in that skilled trade.
If you go to college and get a degree in business, only to graduate and become a fisherman, you're wasting money. That's not to say a degree in business is bad for someone who is a car mechanic, but you don't need to spend all that money and four years in a classroom when all the skills you need to learn are best learned hands-on in a shop. A fisherman should, if he or she chooses, go back to school for a business degree if it makes sense. But he or she should not go simply because everyone says he or she should go.
Not everyone finishes college. This entire post was inspired by an article in The New York Times that advocates that some people skip college. One of the scariest bits of information it shared was a projection from the U.S. Department of Education: "Perhaps no more than half of those who began a four-year bachelor's degree program in the fall of 2006 will get that degree within six years . . . ."
Let's say 50% of people complete the program within six years. That means 50% of people don't finish and are paying for something that they won't ever receive. That also means that a percentage of the people who do finish will be overpaying, because it will take them longer than four years. What's amazing about that statistic is that it screams one pivotal idea: Not everyone is suited for college.
The problem is, you can't expect kids to know this because they haven't been to college. They haven't charted out their futures. That's why they really need to rely on an honest and capable high school guidance counselor to help then decide what they should actually do.
Opportunity cost of four years. The average cost of college in 2009-2010 is $26,273 for tuition and fees at a private college and $7,020 at a public college, according to the College Board. That means that over four years you'll have spent more than $100,000 at a private school and $28,000 at a public school. When you consider the opportunity cost of not working for four years, coupled with the $100k/$28k actual cost, a college graduate -- depending on the level of financial aid -- can be in a very deep financial hole.
According to data from the U.S. Census Bureau, the average high school graduate makes $30,400 a year. The average bachelor's degree recipient makes $52,200. How long does it take for the college graduate to catch up, considering he has paid $100,000-plus and hasn't been pulling a salary for four years (totaling $121,200)? It takes a long time.
You can't afford it. Student loan debt figures are at all-time highs. Why is it socially acceptable to tell people "you can't afford that Maserati" or "you can't buy a 10-bedroom home" when they can't, but not OK to say the same about college? Why is credit card debt so bad and student loan debt good? People are graduating with $100,000 in student loan debt, which can't be discharged in bankruptcy, and saddling themselves with multihundred-dollar monthly loan payments.
You should not go to college if you cannot afford it. It would be different if we weren't surrounded by horror stories of student loan debt. These are stories of graduates who can't find jobs and must meet what amounts to a small mortgage payment each month. You hear about a philosophy major with $50,000 in debt and no job prospects. The reality is that they shouldn't have gone to that school to pursue that major. It wasn't worth it, and they couldn't afford it.
You don't want to. Remember when you were a kid and your parents told you to eat your vegetables? You probably fought them, but you eventually ate them. You did it because your parents knew what was good for you and you, as a kid, didn't.
Perhaps they're doing the same thing with college, telling you to go because it's the right thing to do. They want you to go to college because it does, in many cases, give you an advantage in the work force. They want you to go because they can tell their friends that you are going to college. But you should go only if you think it's the best option for you.
You shouldn't go to college because your parents want you to, or because your guidance counselor wants you to, or because your best friend is going and you want to be with him or her. You should go, and put yourself on the hook for tens or hundreds of thousands of dollars, if it's the right decision for you.
Copyright © 2013 Microsoft. All rights reserved.
Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.
Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by SIX Financial Information.