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College as an investment

College as an investment

College is often described as an investment in the future. You pay upfront so you can benefit for years afterwards. According to research, as of 2011 a college degree delivered an inflation-adjusted annual return of more than 15 percent, which is a good deal.

However, past performance is no guarantee of future returns. Wage growth is stagnating for college graduates, with average starting salaries increasing by just 1.4 percent from 2015 to 2018.

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MORE IDEAS FROM THE SAME ARTICLE

While the evidence on the economic and happiness benefits is mixed, attending college depends on the particulars of each person.

A child's gifts, circumstances, and career ambitions all affect whether college is the right choice. But, the parents are often more excited that their chil...

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