ATLANTA — Most people agree a college degree provides valuable benefits, even if not everyone can afford one, but experts say there are ways to make it attainable to more people.
Tuesday, a survey from Georgia Credit Union Affiliates showed that 70 percent of credit union members believe a college degree is worth the financial investment. Kristi Arrington, vice president of information development for the credit union cooperative, said the value of a degree will also only increase over time.
“There is a clear, life-long value of getting a post-secondary (degree),” said Clair Suggs, senior education policy analyst for the Georgia Budget & Policy Institute, an Atlanta-based advocacy group. “Here in Georgia, we know it is estimated that by 2020, at least 60 percent of all jobs will require at least some post-secondary training.”
According to a study from the Economic Policy Institute, a college graduate makes $7 more per hour than a non-college graduate. The unemployment rate for Georgia’s graduates, ages 21 to 24, is also 10 percent lower than the unemployment rate of all workers ages 16 to 25.
These benefits, however, are not seen by all graduates in this job market, said economist for the Economic Policy Institute Heidi Shierholz.
“On average, yes, it’s still the case that you will make more money (with a college degree)...but that word, average, masks a lot of variation amongst outcomes of people with a college degree,” she said.
Some college graduates receive the same or lower wages than non-college graduates or remain in jobs which do not require their degree. Once the economy improves and employment rises, Shierholz said college graduates will see better wages. But at this time, students are facing increased tuition and student debt alongside a lower incentive for attending college.
“It (college) doesn’t pay off for everyone,” she said. “We’re certainly reducing the incentive of going to college by not having the benefits of going to college expanding quickly, but having the [cost of tuition] expanding.”
The average tuition cost in Georgia increased by 65 percent since 2008, according to the College Board, an increase caused in part by decreased state funding. Higher tuition is coupled with decreased coverage by the HOPE Scholarship, which once covered all tuition and fees for qualifying students and now covers between 60 and 70 percent of tuition and fees, leaving families with a higher price tag on higher education.
Representing a group which advocates increased funding for education, Suggs emphasized that as costs go up, low- and moderate-income students have a harder time affording post-secondary degrees. This, she said, is coupled with the lack of a statewide effort to provide need-based funding.
“If these students are going to go on, they’re going to need some financial help,” she said.
Arrington said planning and setting aside money is one step toward easing the burden from tuition costs.
“The biggest thing is just getting people to think about saving early, no matter how far off college is,” she said.
Savings may not cover the whole cost of college, but, Arrington said, acting early can allow for money to gain interest and increase its value, as well as give families the opportunity to explore all available financing options.