5 ms·

> Students will on average pay ~$100k for their degree, but because they enter the workforce 2 years sooner they also have $200k more earnings than their peers

> Students will on average pay ~$100k for their degree, but because they enter the workforce 2 years sooner they also have $200k more earnings than their peers (pre-tax/tuition). From a net-worth standpoint, this ends up being comparable to getting a full ride at a 4 year institution. Perhaps avoid going into specifics next time. Is it true to say that earlier graduation makes it cheaper? Yes. Is it true to say that a graduate can gain additional work experience while others study? Yes. But you went way too far (pre-tax dollars, no cost of living, assumptions about $100K income/year, and equivocating it to a full ride at a normal college). Arguments like that sound like the sales pitches at Phoenix and other sketchy degree programs, and you definitely don't want to be associated with that. $70K/year is what many would pay for in-state including living on campus. It is definitely on the high end (although I don't know if it is more normal in California).

dragonwriter 8y ago
> $70K/year is what many would pay for in-state including living on campus. A quick check of UCs shows total all-inclusive annual cost estimate for in-state students tend to be $25-35K depending on living situation. (Which includes things like housing and food that getting a degree sooner doesn't actually save that much, if anything, on.)
- plants 8y ago
  I think they might have meant for all four years of state school on campus, which rings true with me. I went to a state school and lived on campus for four years and it cost me roughly 80k.
DesaiAshu 8y ago
I hear your point. To avoid getting into trouble I'll keep the framing as better than a full tuition scholarship (rather than full ride). It's already a good deal so no need to take risks with marketing :) If you're curious, here's the math I'm using (assuming that our average salary will stay around $95k and long term salary trajectory will map to traditional stats). Since our tuition is a percent of earnings, the math is relatively straightforward: Make School: - Tuition = 20% of 5 years salary = ~1.1x starting salary = $1.1S (assumes 5% annual salary increase) - Living expenses = 4 * annual cost of living = $4L - Earnings = $1.03S * 0.65 * 2 (assumes 35% tax rate, 5% annual salary increase) - Net worth after 4 years = $0.24S - $4L Full Tuition Scholarship: - Tuition = $0 - Living expenses = $4L - Earnings = $0 - Net worth after 4 years = -$4L Full Ride Scholarship: - Tuition = $0 - Living expenses = $0 - Earnings = $0 - Net worth after 4 years = $0 To plug in some numbers, our students' cost of living tends to be ~$1500/mo, while our average starting salary is approximately $95k. - Make School case net worth after 4 years: -$49k - Full tuition case net worth: $-72k - Full ride case net worth: $0 However, this doesn't factor in compounding gains of starting off at a higher salary (http://eagle.gmu.edu/newsroom/843/ http://eagle.gmu.edu/newsroom/843/). The top CS programs in the country (Stanford, MIT) are currently at ~$95k average starting salary, while the overall average is ~$60k. At the point their peers are graduating college, our alums will have a $10k+ higher salary. This difference should compensate for the -$49k difference over a long career. Since tuition and tax rates are both proportional to income, the numbers won't change substantially if salary is lower.
- king_magic 8y ago
  > It's already a good deal so no need to take risks with marketing :) No, it’s an insanely bad deal. Stop acting like this is an amazing deal - it’s not, it’s verging on predatory. My 4 year CS BS through a state school left me with $45k in loans that I’m still paying off - and that is extremely reasonably compared to this insanity. A 4 year degree should never cost anywhere near 100k. It’s criminal for a 2 year degree to approach that cost.
king_magic 8y ago
$100k is highway robbery for a CS BS.

dragonwriter 8y ago

> $70K/year is what many would pay for in-state including living on campus. A quick check of UCs shows total all-inclusive annual cost estimate for in-state students tend to be $25-35K depending on living situation. (Which includes things like housing and food that getting a degree sooner doesn't actually save that much, if anything, on.)

plants 8y ago
I think they might have meant for all four years of state school on campus, which rings true with me. I went to a state school and lived on campus for four years and it cost me roughly 80k.

DesaiAshu 8y ago

I hear your point. To avoid getting into trouble I'll keep the framing as better than a full tuition scholarship (rather than full ride). It's already a good deal so no need to take risks with marketing :) If you're curious, here's the math I'm using (assuming that our average salary will stay around $95k and long term salary trajectory will map to traditional stats). Since our tuition is a percent of earnings, the math is relatively straightforward: Make School: - Tuition = 20% of 5 years salary = ~1.1x starting salary = $1.1S (assumes 5% annual salary increase) - Living expenses = 4 * annual cost of living = $4L - Earnings = $1.03S * 0.65 * 2 (assumes 35% tax rate, 5% annual salary increase) - Net worth after 4 years = $0.24S - $4L Full Tuition Scholarship: - Tuition = $0 - Living expenses = $4L - Earnings = $0 - Net worth after 4 years = -$4L Full Ride Scholarship: - Tuition = $0 - Living expenses = $0 - Earnings = $0 - Net worth after 4 years = $0 To plug in some numbers, our students' cost of living tends to be ~$1500/mo, while our average starting salary is approximately $95k. - Make School case net worth after 4 years: -$49k - Full tuition case net worth: $-72k - Full ride case net worth: $0 However, this doesn't factor in compounding gains of starting off at a higher salary (http://eagle.gmu.edu/newsroom/843/ http://eagle.gmu.edu/newsroom/843/). The top CS programs in the country (Stanford, MIT) are currently at ~$95k average starting salary, while the overall average is ~$60k. At the point their peers are graduating college, our alums will have a $10k+ higher salary. This difference should compensate for the -$49k difference over a long career. Since tuition and tax rates are both proportional to income, the numbers won't change substantially if salary is lower.

king_magic 8y ago
> It's already a good deal so no need to take risks with marketing :) No, it’s an insanely bad deal. Stop acting like this is an amazing deal - it’s not, it’s verging on predatory. My 4 year CS BS through a state school left me with $45k in loans that I’m still paying off - and that is extremely reasonably compared to this insanity. A 4 year degree should never cost anywhere near 100k. It’s criminal for a 2 year degree to approach that cost.

king_magic 8y ago

$100k is highway robbery for a CS BS.