An ongoing debate exists regarding the value of a degree from an elite college. Now economists from BYU and San Diego State have reported a study that compares starting and mid-career salaries for a number of majors from colleges that are selective, which covers elite schools and other highly competitive institutions; midtier; and less selective, which covers schools with open enrollment.

The results showed:

Quote:For STEM-related majors, average earnings don’t vary much among the college categories......

The starkest earnings differences are for business majors, where graduates from the selective institutions earn 12% more on average than midtier graduates and 18% more than graduates from less-selective colleges....

For education, social sciences and humanities, the selective college graduate can expect an 8% to 11% advantage from a selective diploma.

Link

Biggest benefit from going to elite schools is the networking.

If you are not going to get a degree in which is a prerequisite for a career path?...You need to seriously reconsider your field of study. If you cant figure that out?...then don't waste you parents money and go to a vocational school and learn work skills. There are plenty of good paying jobs for skilled tradesmen, truck drivers, business and medical professionals that do not require a 4 year degree. There is also the military service option..in which has multiple benefits for someone just out of High School.

People either have it or they don't. Those that don't probably won't benefit much from college, even if they manage to get through with a degree. Those that do have it will likely benefit.

(02-01-2016 12:59 PM)Fo Shizzle Wrote:  If you are not going to get a degree in which is a prerequisite for a career path?...You need to seriously reconsider your field of study. If you cant figure that out?...then don't waste you parents money and go to a vocational school and learn work skills. There are plenty of good paying jobs for skilled tradesmen, truck drivers, business and medical professionals that do not require a 4 year degree. There is also the military service option..in which has multiple benefits for someone just out of High School.

The military service option is starting to wear a bit. A lot of kids get rejected because they are too fat, unhealthy, or just suck in general. That's a pretty sad state of affairs when the military may not even be an option for many anymore.

I think the best advise is to forget advise completely. These kids need to be taught how to assess their own lives and decide what is good for them on an individual basis. I always tell kids that the worst thing they can do is look at averages.

I think a difference which may be hard to quantify is that kids who get out of an "elite" school is that graduates are more likely to negotiate their salary. You'd be surprise how much just a gentle bit of push back can get you 5-10% more in salary.

My last job I pushed for another 5K because I was a great contractor for them and knew I was worth the extra money. They were happy to pay me the extra because they know (1) I was worth it (2) working with me meant that I would be far more likely to see them as appreciating me, and make me a better worker.

I did not do that for my first job coming out of UB. Got an offer for 52K (back in the 90s) and jumped on it. Only later did I learn that my manager thought he got me for a steal and I could have pushed to 60 if I looked at the market, and was able to articulate why I was worth the money. I never once resented him for it, he was playing the game correctly, I did not even know the game existed.

Someone coming out of Princeton may already have the mind set, "I should be making more than the average pay because..."

Everytime I have negotiated, I've gotten significantly more.

(02-01-2016 01:25 PM)Bull_In_Exile Wrote:  I think a difference which may be hard to quantify is that kids who get out of an "elite" school is that graduates are more likely to negotiate their salary. You'd be surprise how much just a gentle bit of push back can get you 5-10% more in salary.

My last job I pushed for another 5K because I was a great contractor for them and knew I was worth the extra money. They were happy to pay me the extra because they know (1) I was worth it (2) working with me meant that I would be far more likely to see them as appreciating me, and make me a better worker.

I did not do that for my first job coming out of UB. Got an offer for 52K (back in the 90s) and jumped on it. Only later did I learn that my manager thought he got me for a steal and I could have pushed to 60 if I looked at the market, and was able to articulate why I was worth the money. I never once resented him for it, he was playing the game correctly, I did not even know the game existed.

Someone coming out of Princeton may already have the mind set, "I should be making more than the average pay because..."

I think you alluded to an important thing in this analysis.

The early career number deals with a greater number of people and in certain types of starting position. The mid career number deals with a smaller number of people and in high level positions. The second points are a given when looking at either. It's the first point that matters. The mid career number is essentially what somebody who is good at their job is making in a certain area.

The crappy people don't usually last that long. I believe it is important to account for a drop our rate. You could draw the conclusion that by one's mid career they have a workable skill and are paid for it, as education does not matter at that point. Every individual, regardless of education, by their mid career is where they probably ought to be, or at least advanced to some degree. The ones that aren't have mostly likely moved on and are working in a separate field.

The mid career number is simply measuring something else entirely than the early career number.