By Jeff Salisbury jeffsalisbury@charter.net
The high school graduation ceremonies are over.
The open houses have, for the most part, come and gone.
The summer jobs (if you can find one) have begun.
And lots of parents and students alike will, if they haven’t already, soon be sending off college room and board deposits along with the first of many checks for tuition and fees.
But hold on. Odds are that your son or daughter’s college diploma might not be worth it.
So before you send off a deposit or write any of those checks for tuition and fees consider these facts:
2012: Freshman
About 1.5 million, or 53.6 percent, of bachelor’s degree-holders under the age of 25 were jobless or underemployed, the highest share in at least 11 years. In 2000, the share was at a low of 41 percent, before the dot-com bust erased job gains for college graduates in the telecommunications and IT fields. Out of the 1.5 million who languished in the job market, about half were underemployed, an increase from the previous year. (From a Associated Press study produced with the help of researchers from Northeastern University, Drexel University, and the Economic Policy Institute, based on data from the Census Bureau’s Current Population Survey and the U.S. Department of Labor.) http://www.theatlantic.com/business/archive/2012/04/53-of-recent-college-grads-are-jobless-or-underemployed-how/256237/
2013: Sophomore
More than 40 percent of recent U.S. college graduates are underemployed or need more training to get on a career track, a poll released on Tuesday showed.
The online survey of 1,050 workers who finished school in the past two years and 1,010 who will receive their degree in 2013 also found that many graduates, some heavily in debt because of the cost of their education, say they are in jobs that do not require a college degree. Thirty-four percent said they had student loans of $30,000 or less, while 17 percent owed between $30,000 to $50,000. http://www.reuters.com/article/2013/04/30/us-usa-graduates-jobs-idUSBRE93T0WB20130430
2014: Junior
In a study on youth joblessness, the Economic Policy Institute reported that roughly 8.5 percent of college graduates between the ages of 21 and 24 were unemployed. That figure is based on a 12-month average between April 2013 and March 2014, so it’s not a perfect snapshot of the here and now. Still, it tells us that the post-collegiate job market, just like the rest of the labor market, certainly isn’t nearly back to normal. (For comparison, the unemployment rate for all college grads over the age of 25 is 3.3 percent, which is also still higher than normal.) More worrisomely, the EPI finds that a total of 16.8 percent of new grads are “underemployed,” meaning they’re either jobless and hunting for work; working part-time because they can’t find a full-time job; or want a job, have looked within the past year, but have now given up on searching.
2015: Senior
American college graduates — and their parents — appear to be increasingly reluctant to cut the financial apron strings. About half of students expect to be supported financially by their parents for up to two years after graduation, according to a new survey of 500 students and 500 parents released Tuesday by Upromise, the savings division of Sallie Mae, the student lender. And almost half of students surveyed said they would be willing to pay their parents rent if they moved back home post-graduation, the survey found. Only 5 percent of parents say they would not let their child move back in with them after graduation. Parents seem to be more lenient about letting their graduate children come back home. Some 36 percent of parents say they expected to support their children financially for more than two years, up from just 18 percent last year, and only 2.8 percent of parents expect their kids to have a full-time job after college and only one-quarter see them having any kind of job in their chosen field when they graduate. And if they moved in with their parents after graduation, 20 percent of students expect it would be at no cost to themselves.
http://nypost.com/2015/05/19/half-of-college-graduates-expect-to-be-supported-by-their-families/
So what’s a student or parent to do?
Well, first off, don’t assume you or you child is even ready for college in the first place – especially only 90 days after he or she walked off that high school commencement stage.
Together, you are “buying a product” – a very expensive product. And what’s more, based on the information and trends above, more and more that product has questionable value.
Take as much time as you need to consider all your family’s options.
Students – Consider working for a year whether part-time or full-time. See what it’s like to stand on your own two feet.
Get a feel for managing a personal budget, paying rent or a share of it – along with utilities (even if living at home), stocking a pantry by buying groceries weekly, cooking meals, doing laundry, and managing personal finances including balancing a checkbook, applying for using a credit card, maybe even taking out a loan and making installment payments on a used or nearly-new automobile.
And maybe, just maybe, consider taking a class – or two – at your nearest community college. You’ll find tuition to be affordable – class times are flexible to a work schedule – and courses will transfer if indeed a four-year degree is what you are after. But in the meantime – explore your options – and do so without taking out loans that will burden you down for years to come.
Remember, that favorite college or university of yours isn’t going anywhere.
And for some recent college or university graduates, even with a degree, well, neither are they.
Wayland Union Schools – Board of Education Regular Business Meetings, Work Sessions, Committee Meetings
June 29, 2015 @ 8:30 a.m. Facilities Committee
Members will depart from the Administration Office for tours of Northview Schools community fitness center and swimming pool followed by a tour of Grand Rapids Schools Houseman (synthetic turf) Field … this is in preparation for a private company’s “bond study & presentation” in August before the full board of education.
July 13, 2015 7:00 pm – Administration Building, 850 E. Superior (First Regular Business Meeting of the 2015-16 school year)
During the PUBLIC COMMENTS, tell Board members to:
- Question Every Aspect of the District’s Essential and Non-Essential Educational Programming and Personnel Expenditures (Needs versus Wants)
- Set General Fund & Casino Revenue Spending Guidelines
- Track and Trim All Expenditures & Make Targeted Programs & Personnel Cuts As Needed
REMIND THE BOARD TO:
- “Build ONE Budget” – combine general fund revenue (local, state and federal dollars) and Gun Lake Casino “in lieu of taxes” revenue.
- “Pay Yourselves First” – restore the fund equity – which dipped from 15% to 7% in the last four years
- “No More Loans”
BOARD MEMBERS CONTACT INFORMATION:
- Nancy Thelen, President, Email: nancyboe@waylandunion.net Phone: 616-877-3098
- Tom Salingue, Vice-President, Email: tomboe@waylandunion.net Phone: 269-792-2061
- Toni Ordway, Treasurer, Email: ordwayt@waylandunion.net Phone: 269-910-3297
- Theresa Dobry, Secretary, Email: theresaboe@waylandunion.net Phone: 616-681-2119
- Janel Hott, Trustee, Email: hottj@waylandunion.net Phone: (h) 269-792-0297 (c) 269-250-0286
- Gary Wood, Trustee, Email: glw_boe@yahoo.com Phone: 616-681-2120
- Pete Zondervan, Trustee, Email: zondervanp@waylandunion.net Phone: 616-450-1468
I have to respectfully disagree with recommending young adults to get an installment loan for a newer vehicle and/or getting a credit card. Once the monthly payments start, it is much more difficult thinking about financing a post secondary education.
From a 2011 REUTERS news service report:
“The quintessential American college student leaves home at 18 to live on a college campus for four years. We’ve historically defined “nontraditional” students as those over the age of twenty-four, those enrolled part time, and those who are financially independent. But today, the “typical” student is the exception.
The Great Jobs Debate: An Atlantic/McKinsey Report…
There are currently 17.6 million undergraduates enrolled in American higher education.
The National Center for Education Statistics reports that just fifteen percent of them attend four-year colleges and live on campus. Forty-three percent of them attend two-year institutions.
Thirty-seven percent of undergraduates are enrolled part-time and thirty-two percent work full-time. Of those students enrolled in four-year institutions, just thirty-six percent actually graduate in four years.
The most significant shift is probably the massive growth in the adult student population in higher education.
Thirty-eight percent of those enrolled in higher education are over the age of 25 and one-fourth are over the age of 30. The share of all students who are over age 25 is projected to increase another twenty-three percent by 2019. ”
NOTE: 4 years later and in the wake of the recession, most likely the numbers are even higher.
The demands for degrees reflect this changed population.
Slightly over half of today’s students are seeking a “subbacalaureate” credential (i.e. a certificate, credential, or associate’s degree).
In 2008-09, postsecondary institutions conferred 806,000 certificates and 787,000 associate’s degrees, or a total of about 1.59 million, as compared to 1.6 million bachelor’s degrees.
In 2008, more than half a million students were enrolled in a health sciences certificate program, making it the largest certificate program area.
Another 173,000 students sought a certificate in manufacturing, construction, repair, and transportation. While public discourse often focuses on four-year degrees, these other credentials matter, a lot. http://www.theatlantic.com/business/archive/2011/09/old-school-colleges-most-important-trend-is-the-rise-of-the-adult-student/245823/