College
Is College Worth It Financially? A Data-Driven Answer
College graduates earn $1.2M+ more over a lifetime -- but the ROI varies wildly by major, school, and debt load. Here's the data to help you decide.
College vs Trade School Calculator
4-year degree total cost + 4 years lost earnings vs 2-year certification + immediate income. NPV comparison at age 35.
College vs Trade School Calculator
Four years of college or two years of trade school -- which path puts more money in your pocket?
$
$10,000$300,000
Tuition + fees + room & board for all 4 years
$
$25,000$150,000
$
$25,000$100,000
Electricians, plumbers, welders typically start $38K-$52K
Trade school comes out ahead by $61,695 in today's dollars by age 35
Here's what I'd tell a friend
At these numbers, the trade path is financially stronger by age 35. Starting to earn $42,000 after just 2 years of training -- vs waiting 4 years and paying $93,000 -- creates a head start that's hard to overcome. That said, college may open doors that are hard to quantify. Consider: could you do a trade now and pursue a degree later if needed?
College NPV at 35
$522,297
Net present value of all college-path cash flows
Trade NPV at 35
$583,993
Net present value of all trade-path cash flows
College total cost (with interest)
$126,890
Trade total cost
$15,000
College cumulative earnings by 35
$744,467
Net of tuition and loan payments
Trade cumulative earnings by 35
$777,796
Net of training costs
NPV advantage
+$61,695 (trade)
At a 3% discount rate
Break-even age
Age 35
When college cumulative earnings overtake trade earnings
The Money Friend
Trade school comes out ahead by $61,695 in today's dollars by age 35
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Past performance and historical data do not guarantee future results. Equal Housing Opportunity.