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The opportunity cost of university getting up there: $60k salary x 4 years = +$240k vs $25k tuition X 4 years = -$100k (state school [1]) $50k tuition

The opportunity cost of university getting up there: $60k salary x 4 years = +$240k vs $25k tuition X 4 years = -$100k (state school [1]) $50k tuition X 4 years = -$200k (private school) So total opportunity cost is around $340-440k and four years, assuming you can go straight into the $60k/yr job from high school. If you finance school with debt, then you have interest as part of the calculation. Of course there are other intangibles to be had from working, such as learning personal responsibility at a younger age ;-) [1] https://www.collegedata.com/cs/content/content_payarticle_tmpl.jhtml?articleId=10064 https://www.collegedata.com/cs/content/content_payarticle_tm...

godelski 9y ago
But if you make more than $60k because of your college degree, then you are in the black in not too long. Let's say you make $80k, then you are break even at 17 years. If you are making more like 100k, then you break even at only 8.5 years. Considering that the retirement age is around 70, this means that even a small increase in salary leaves a good chunk of money on the table by retirement (or allows an earlier retirement). Of course, there are the other factors that others are discussing. Plus things like interest (on loans and investments).
mywittyname 9y ago
There are also risks. Recessions hit trades much harder than anyone else, as they tend to be affected first and recover last from them. Construct unemployment is a leading indicator of recessions.
- NFPA_SysAdmin 9y ago
  There are some skilled trades that companies, even during a recession, can't get around...fire alarm/suppression system inspectors/technicians, elevator inspectors/technicians, electricians, electrical code specialists, OSHA compliance specialists, etc...
  - mywittyname 9y ago
    You can get around those by not building. New construction is a considerable portion of work in these trades. My family owns a construction company and my father is an electrician. They have three times as many employees in installations as they do service. It's the nature of the business.
    - NFPA_SysAdmin 8y ago
      > "...three times as many employees in installations as they do service" This is more in the compliance sector, but I get what you're trying to get at.
dlp211 9y ago
$25k in tuition, room & board, and fees. You are not making a fair comparison as you need deduct living costs from the former or exclude them for the latter. You also don't consider the average aid package that one is likely to obtain, nor any monies that the latter makes.

godelski 9y ago

But if you make more than $60k because of your college degree, then you are in the black in not too long. Let's say you make $80k, then you are break even at 17 years. If you are making more like 100k, then you break even at only 8.5 years. Considering that the retirement age is around 70, this means that even a small increase in salary leaves a good chunk of money on the table by retirement (or allows an earlier retirement). Of course, there are the other factors that others are discussing. Plus things like interest (on loans and investments).

mywittyname 9y ago

There are also risks. Recessions hit trades much harder than anyone else, as they tend to be affected first and recover last from them. Construct unemployment is a leading indicator of recessions.

NFPA_SysAdmin 9y ago
There are some skilled trades that companies, even during a recession, can't get around...fire alarm/suppression system inspectors/technicians, elevator inspectors/technicians, electricians, electrical code specialists, OSHA compliance specialists, etc...
- mywittyname 9y ago
  You can get around those by not building. New construction is a considerable portion of work in these trades. My family owns a construction company and my father is an electrician. They have three times as many employees in installations as they do service. It's the nature of the business.
  - NFPA_SysAdmin 8y ago
    > "...three times as many employees in installations as they do service" This is more in the compliance sector, but I get what you're trying to get at.

dlp211 9y ago

$25k in tuition, room & board, and fees. You are not making a fair comparison as you need deduct living costs from the former or exclude them for the latter. You also don't consider the average aid package that one is likely to obtain, nor any monies that the latter makes.