PPB April 2019

Market Snapshot Younger Americans, those between the ages of 25 and 34, are the most likely to hold a four-year degree, with 37 percent possessing at least a bachelor’s degree, according to the U.S. Census Bureau. Thirty percent of those 55 and older have a four-year degree. Women are also slightly more likely than men, by about half a percentage point, to have graduated from college. While more degree seekers are heading to colleges and universities, they’re accruing massive debt in the process. Student loan debt reached record levels in 2018, topping $1.36 trillion, according to Experian. Since 2008, student loan debt has increased 129 percent nationwide, representing the second-largest credit debt for Americans, behind only mortgage loans. In 2016, the average college graduate had amassed a debt of more than $37,000. Colleges are also facing challenges, including rising costs, diminishing state support and a growing population of students who bypass the traditional college route in favor of online degrees. As a result, enrollment is shrinking at many American colleges. Between 2011 and 2013, enrollment at U.S. colleges declined by nearly one million students. Just a few years earlier, college enrollment spiked by 54 percent. Between 1990 and 2011, the student population skyrocketed from 12 million to 18.5 million. With fewer students, schools receive fewer tuition dollars and must innovate to make money. Some schools offer tuition discounts while other schools have even put dorms on Airbnb to make a profit over the summer months, according to NPR. While physical campuses might be struggling, online enrollment numbers continue to rise. At least a third of students take at least one online class and one in six students take classes exclusively online, according to the NCES. Education Pays Off In 2002, the U.S. Census Bureau reported that non-degree holders could expect to earn 75 percent less than bachelor’s-degree holders, who could make $2.7 million over their lifetimes. Those with a bachelor’s degree can now expect to make 84 percent more than high school graduates. Here’s a look at average annual salary by education level: America’s Top 10 Largest Schools by Undergrad Enrollment 1 2 3 4 5 6 7 8 9 10 University of Central Florida 56,972 Texas A&M University – College Station 53,065 The Ohio State University 52,517 Arizona State University – Tempe 42,427 Florida International University 41,852 Penn State University 40,552 University of Texas – Austin 40,168 California State University – Northridge 39,916 University of Florida 39,565 Michigan State University 38,996 Source: PrepScholar SCH0OL NUMBER OF STUDENTS Some college, no degree $38,376 Associate degree $41,496 Bachelor’s degree $59,124 Master’s degree $69,732 Professional degree $89,960 Doctorate $84,396 Sources: U.S. Census Bureau and Smart Asset Co l l eges And Un i ve r s i t i es 44 | APRIL 2019 | GROW