College graduates on average make significantly more than high school graduates, and the disparity is increasing.
Statistics Show Higher Earning Power for College Grads
College is definitely a significant investment of time and money. However, more and more people are recognizing they need to go to college as a path to a better financial outlook.
College Grads Outpace High School Grads in Earnings
The reason for this increase is obvious. There can be a significant increase in earning potential for college graduates. According to the National Center for Education Statistics, the median annual earnings by gender for full-time workers between the age of 25 and 34 was the following:
- Males with a high school diploma or GED: $30,000
- Males with a bachelor’s degree or higher: $50,000
- Females with a high school diploma or GED: $24,000
- Females with a bachelor’s degree or higher: $41,000
This difference in earning potential has also increased throughout the years. In 1980, the median difference in earnings for a male with a high school diploma and a bachelor’s in this same age group was $6,500. It increased to a $20,000 difference in 2006. For females, it was a $9,400 difference in 1980, and increased to a $17,000 difference in 2006.
This difference in earnings can add up significantly throughout your career and is a compelling reason to consider college.