As college tuition continues its inexorable rise and young people take on more and more debt to pay for their educations, students are growing more concerned about the Return on Investment (ROI) their college can provide. College ROI scores put a dollar figure on those diplomas by measuring graduate earnings over the 30 years following graduation. The 2013 edition of one popular annual college ROI study, authored by payment and compensation firm PayScale, found tech and engineering schools claiming the top five spots in terms of ROI (earnings are cumulative over 30 years, net of tuition, fees, and financial aid).
Clearly, tech and computer science are the careers young people should consider if ROI is a concern. In fact, Software Developer was listed at the top of US News’ most recent 100 Best Jobs list. Computer Analyst was second.
“Students who choose to major in computer science have a distinctive advantage in the job market, since there are more jobs than qualified candidates coming out of college,” says Aaron Reed, Executive Vice President at Neumont University.
Lifetime ROI is not the only measure of college and university value. America’s Best Bang for the Buck Colleges, another popular value ranking, looks at several measures – including student loan default rate and net expenses after grants and other assistance – to determine affordability rather than ROI.
Whatever the measure, incoming students have to weigh both cost and future employment prospects when considering a college. In other words, making the most of a college education also means making the most of whatever career opportunities a college may provide.
Neumont University: Students Must Understand the Importance of ROI
Some universities have accepted the ROI challenge and now collect details about their graduates’ career opportunities and salaries. For example, Neumont University, a Salt Lake City, Utah college exclusively focused on Computer Science, contacts employers directly to verify the job title and total first year compensation of each graduate in order to publish an accurate average employment rate and starting salary data for its graduates. This data helps prospective students and their families make sound educational choices.
“Because the cost of education is rising rapidly, families are carefully considering the ROI of one of the biggest investments they will ever make — their child’s college education,” says Reed. “In fact, the federal government is pushing for ‘gainful employment’ legislation which is currently only targeted at for-profit institutions. However, few institutions of any kind are willing to report outcomes. At Neumont, we get written confirmation from employers of employment for their graduates within six months of graduation, and the results are good: 97% of our graduates are employed with starting salaries averaging more than $60,000.”
How to Land a Job after School and Improve Educational ROI
Whether a student is pursuing a degree in tech or in the humanities, there are several ways to improve the post-graduation job search.
1. Choose the Right Major and Industry
Before setting foot on campus, students should evaluate the job market carefully. Resources such as the US News Best Jobs List or reports from PayScale or even the Bureau of Labor Statistics’ Occupational Outlook Handbook can help students choose a major that will prepare them for a career in a growing field or industry.
2. Choose a University with a Proven ROI
Lists such as those from PayScale rely on surveys and self-reporting from graduates, which can suffer from poor response rates. Some schools like Neumont University seek to improve data collection with employer verification and frequent contact between career counselors and graduates.
3. Work with the School’s Career Office and Alumni Network
College career offices can help students craft and refine resumes, focus career goals and identify local job leads. Alumni associations can help students meet and network with employers and leaders with whom they already share a deep connection — their alma mater. Academic departments and teachers are another great resource. A meeting with a professor who is close to the industry may turn up valuable leads, contacts and insights.
4. If You’re a Millennial, Highlight Those Strengths
Age and experience may trump youth and skill, but if youth and skill are what you’ve got, highlight these qualities! You know how to reach a valued demographic (because you’re swimming in it). You’re familiar with the latest social communication tools and gadgets. You’re willing to learn. And relative to more experienced workers, you’re cheap. Keep your resume focused on your achievements in and out of the workforce and your interview responses on point to improve the odds.
5. Start Building a Professional Network
Students today are well networked, both online and off. Transform those connections into a multi-faceted career and professional network by reaching out to work contacts, community contacts and of course, social media contacts, suggests Reed. Your extended network can give you job leads, offer career advice, provide recommendations and so much more.
6. Volunteer
You’ll do good for yourself while you do good for others. In addition to the professional contacts you may make, you’ll gain real world experience with which to polish your resume.
Realizing a good ROI on a college tuition investment is important in today’s high-cost, high-student-debt education market. Taking a more practical approach to your college education and planning for ROI should be a key consideration when choosing a college to attend.