Higher Education is certainly an investment in your future. The goal is to be able to better improve your career and future pay. Today, there are many alternatives to traditional college or university, some of which are more affordable and can provide a greater “return” on your tuition dollars. Think of it like this: how much increase in salary do you get compared to how much you pay for your education? In other words, what is the ROI (Return on Investment) of your education costs? In this article, we compare three popular education choices: traditional college, trade schools and online bootcamps.
Traditional College or University
Going to college has long been thought of as the optimal way to maximize your chances of a successful career. Having a college undergraduate degree used to be more prestigious than it is today. Now, a college degree is almost required and expected for many careers and doesn’t have the cachet that it once did. At the same time, the costs of private and even public schools have increased enormously. Between 2000 and 2021, the cost of a private college education has increased an incredible 69%, and since then, they’re up 20%. At the same time, the value of a degree has decreased. Private school has become unaffordable for most Americans. While public schools are certainly more affordable, even those costs have risen almost as much as private schools. The average annual cost for private school tuition and fees is $39,400 while the average public school cost is $10,900. These figures don’t include other expenses, such as books and living expenses.
What do you get for your money attending college? The answer can vary based on what college you attend and what major you focus on. According to the Education Data Initiative, the median return for a bachelor’s degree is 287.7% lifetime, but on average, graduates don’t see a return for the first 15 years of their career.
What are the advantages of attending college? One advantage of attending a traditional four-year school is you’ll have a wide variety of majors to choose from, which is especially helpful if you are unsure or would like to try out different subject areas for your future career. Another advantage is getting the traditional college experience, which includes more social opportunities/interactions, extracurriculars like clubs and activities, and the opportunity to live away from home. The biggest disadvantages are the very high costs and the fact that you typically attend for four years and can’t start earning money until you graduate.
Trade School
A trade school or technical school traditionally trains students for specific careers or jobs. Typically the schools provide actual hands-on training so graduates are fully prepared for whatever job they are seeking. Examples of trades include plumbing, welding, carpentry, auto mechanics, cosmetology and more. Advantages of trade schools include the fact that the education process takes much less time than traditional schools – typically from several months up to a year. The tuition for trade schools is also much lower than attending a four-year school, averaging about $17,600 total. And there are scholarships and grants available as well. Therefore, the potential return on your investment is higher. The learning experience can also be advantageous at a trade school. This includes teachers with real-world experience, smaller teacher to student ratios and flexible class schedules. Most trade schools also offer excellent job placement services whereby they work with you to get you employed.
Online Bootcamps
Online bootcamps are typically focused on coding and software engineering careers and are designed to get you trained and ready in a short period of time. Training takes place virtually so you have the flexibility to learn at your own schedule and location. You can train for all sorts of coding jobs, including front end developer, website coding, cybersecurity and backend software programming.
Pros of coding bootcamps:
- Most coding bootcamps cost between $10,000 – 15,000, while the median salary after graduation is $77,000
- They are short in length. A full-time program can last up to 12 weeks, while part-time can take about twice as long. Either way, you can start earning in a much shorter time than a traditional college education.
- Some bootcamps offer job placement guarantees in various forms, whereby you don’t pay all or part of the tuition until you get a job
Disadvantages of bootcamps:
- They are not accredited and have no oversight. Meaning their curriculum or job placement/income statistics are not subject to regulation.
- There are risks associated with attending a bootcamp, especially because they are not regulated. There are some deceptive programs and you need to research to make sure whatever program you choose is legitimate and their students get placed in jobs.
OPINION
There are many post high-school education options and alternatives to traditional four-year programs. Whatever you choose to do, make sure you carefully consider the costs of the program and potential benefits. While a college or university education has its advantages, the cost is extremely high and it’s just not the right type of education for everyone. Learning a specific skill through a trade school or coding bootcamp is much cheaper, faster and often has a greater payoff when taking the costs into consideration. Read our helpful tips on how to save and pay for college.
