6 Financial Benefits of a College Degree

A college degree takes a lot of hard work — and often costs a lot of money. As a result, you may wonder if going to college is worthwhile, but its an investment that nearly always pays off. Here are some of the many financial benefits often enjoyed by college graduates. 1. Youll Have Higher Lifetime Earnings People with a bachelors degree earn about 66 percent more than their peers with only a high school diploma, according to the Bureau of Labor Statistics. A masters degree can net you twice as much as  someone with a high school education. But you dont have to take on that degree of academic investment to see the benefits: Even those with an associates degree tend to earn 25 percent more than those with high school diplomas. Figures vary by occupation, but your earning potential is highly likely to increase with your level of education. 2. Youre More Likely to Have a Job at All Unemployment rates are lowest among Americans with advanced degrees. Even two years of extra education can make a big difference, as people with associates degrees have a significantly lower unemployment rate than people with high school diplomas. Keep in mind its very important to actually get your degree in order to increase your earning potential and chances of employment because people with some college and no degree dont fare much better than people with just a high school diploma. 3. Youll Have Access to More Resources Going to college means you can take advantage of your schools career center or internship programs, which can help you land your first post-graduate job. 4. Youll Have a Professional Network Before You Start Working Dont underestimate the value of connections. You can leverage the relationships youve made in college and your schools alumni network well after youve graduated, like when youre looking for new job opportunities. Thats decades of value from an investment of just a few years. 5. Youll Experience Indirect Financial Benefits While having a degree wont automatically improve your credit rating, for example, having a good job that you got because of your degree can  indirectly increase your credit score. How? Earning more money means youre more likely to be able to meet your financial obligations, like regular bills and loan payments. That can help you avoid paying bills late or having a debt go to collections, which can hurt your credit. On top of that, increasing your earning potential can also improve your ability to save money, which can help you avoid debt. Of course, earning more money doesnt guarantee youll manage it well, but it can certainly help. 6. Youll Have Access to Jobs With Better Benefits Theres more to any job than just the take-home pay. Better-paying jobs, most of which require a college degree, can also offer better perks, like retirement contribution matching, health insurance, health savings accounts, childcare stipends, tuition reimbursement and commuter benefits.