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The median amount of education debt in 2021 among those with any outstanding debt for their own education was between $20,000 and $24,999. This reflects the cen

The median amount of education debt in 2021 among those with any outstanding debt for their own education was between $20,000 and $24,999. This reflects the central tendency of student loan debts, providing a perspective less influenced by extreme high or low values compared to the average debt amount. https://www.federalreserve.gov/publications/2022-economic-well-being-of-us-households-in-2021-student-loans.htm https://www.federalreserve.gov/publications/2022-economic-we...

leereeves 3y ago
Yeah, I just added a similar figure to my post. To me, that seems consistent with "very little debt" as discussed above. It's less than the cost of an economy car, for an education that increases average lifetime earnings by over a million dollars.
- shkkmo 3y ago
  That's the current debt load, not the debt load graduated with nor the amount that will end up paid over the lifetime of the debt. Even so, calling a 5 figure debt load "very little" is flat out ridiculous.
  - leereeves 3y ago
    It's a few percent of the million dollars or more that a good education is worth. Very little indeed.
  - smt88 3y ago
    $25,000 is basically nothing compared to the extra earning potential of the degree. It's less than a lot of cars. A good saver could pay it off in under 5 years without noticing a decrease in lifestyle.
    - shkkmo 3y ago
      Oh good. Glad you make enough money to view 25k as such a measley sum. Most people don't and this median debt load already mostly excludes people like you who payed off thir debt in 5 years. It so funny that you guys are so quick to point out the difference between media and mean when it serves your world view but completely ignore all the other statistical factors. Like comparing q lifetime average earnings of all college graduates aganist the median debt load of those who still have debt. Rich people don't leave college with as much debt and don't hold it as long. Not all degrees pay equally so people with lower paying degrees will be disproportionately represented in that data set. I know many college graduates for whom even making minimum payments on a 25k debt would significantly impact their quality of life. You don't have to feel guilty for your privilege, but don't let it blind you to reality.
      - leereeves 3y ago
        > Not all degrees pay equally so people with lower paying degrees will be disproportionately represented in that data set. This is true. A degree that doesn't increase earnings by at least $1/hour (enough to cover the payments on a $25k student loan), is a financial mistake. If someone spends four years doing what they love and not working, without a care for what will happen afterwards, they should expect it to significantly impact their quality of life afterwards. Being able to do that at all is quite a privilege. I come from a working class family in which most people didn't go to college, so I don't forget what a privilege it was to be able to go to college nor how valuable a well chosen education is.
        shkkmo 3y ago
        > This is true. A degree that doesn't increase earnings by at least $1/hour (enough to cover the payments on a $25k student loan), is a financial mistake. 1$ per hour seems on the far low end to cover that much debt. Also, the 25k number isn't the amount that was owed at graduation, but rather still owed some number of years into the repayment term so the actuall monthly payment is likely even higher. Additionally, many of the lower paying jobs are still ones that we need as a society. While everyone picking lucrative degrees is good for them, it would be bad for us as a society. Even so, I'm not disputing that the vast majority do pay for themselves in time. I'm saying that financial burdens imposed by student loan are significant. I would also posit that this repayment can hamper the ability for people to make other investments that improve their productivity and long term earning potential. Instead of the financial safety net enjoyed by the more well off, it does the opposite and increases risks.
  - chipsrafferty 3y ago
    It's very little. You can easily pay that off in a few years.

leereeves 3y ago

Yeah, I just added a similar figure to my post. To me, that seems consistent with "very little debt" as discussed above. It's less than the cost of an economy car, for an education that increases average lifetime earnings by over a million dollars.

shkkmo 3y ago
That's the current debt load, not the debt load graduated with nor the amount that will end up paid over the lifetime of the debt. Even so, calling a 5 figure debt load "very little" is flat out ridiculous.
- leereeves 3y ago
  It's a few percent of the million dollars or more that a good education is worth. Very little indeed.
- smt88 3y ago
  $25,000 is basically nothing compared to the extra earning potential of the degree. It's less than a lot of cars. A good saver could pay it off in under 5 years without noticing a decrease in lifestyle.
  - shkkmo 3y ago
    Oh good. Glad you make enough money to view 25k as such a measley sum. Most people don't and this median debt load already mostly excludes people like you who payed off thir debt in 5 years. It so funny that you guys are so quick to point out the difference between media and mean when it serves your world view but completely ignore all the other statistical factors. Like comparing q lifetime average earnings of all college graduates aganist the median debt load of those who still have debt. Rich people don't leave college with as much debt and don't hold it as long. Not all degrees pay equally so people with lower paying degrees will be disproportionately represented in that data set. I know many college graduates for whom even making minimum payments on a 25k debt would significantly impact their quality of life. You don't have to feel guilty for your privilege, but don't let it blind you to reality.
    - leereeves 3y ago
      > Not all degrees pay equally so people with lower paying degrees will be disproportionately represented in that data set. This is true. A degree that doesn't increase earnings by at least $1/hour (enough to cover the payments on a $25k student loan), is a financial mistake. If someone spends four years doing what they love and not working, without a care for what will happen afterwards, they should expect it to significantly impact their quality of life afterwards. Being able to do that at all is quite a privilege. I come from a working class family in which most people didn't go to college, so I don't forget what a privilege it was to be able to go to college nor how valuable a well chosen education is.
      - shkkmo 3y ago
        > This is true. A degree that doesn't increase earnings by at least $1/hour (enough to cover the payments on a $25k student loan), is a financial mistake. 1$ per hour seems on the far low end to cover that much debt. Also, the 25k number isn't the amount that was owed at graduation, but rather still owed some number of years into the repayment term so the actuall monthly payment is likely even higher. Additionally, many of the lower paying jobs are still ones that we need as a society. While everyone picking lucrative degrees is good for them, it would be bad for us as a society. Even so, I'm not disputing that the vast majority do pay for themselves in time. I'm saying that financial burdens imposed by student loan are significant. I would also posit that this repayment can hamper the ability for people to make other investments that improve their productivity and long term earning potential. Instead of the financial safety net enjoyed by the more well off, it does the opposite and increases risks.
- chipsrafferty 3y ago
  It's very little. You can easily pay that off in a few years.