The rising cost of college tuition is causing students to take on debt, leading many high school graduates and their parents to question the value of a college degree. The answer to this question partly depends on whether the income from your future job can cover the cost of the degree. Data from the Bureau of Labor Statistics indicates that college graduates generally earn more than those without a degree, regardless of their major. However, your area of study can influence your future earning potential.
A 2019 PayScale survey revealed that the second biggest regret among college graduates was their choice of major, right after accumulating too much student loan debt. This suggests that many graduates believe their choice of major affected their career opportunities. There’s plenty of evidence to support this idea, with various studies showing a significant difference in lifetime earning potential and life satisfaction between different majors.
A 2015 study by the Georgetown University Center on Education and the Workforce found that college graduates earn an average of $1 million more over their lifetimes than those with only a high school diploma. However, not all degree-holders earn this much, and the income potential can vary greatly between different degrees. In fact, the disparity in income potential between degrees can be even greater than that between having a degree or not, with differences as high as $3.4 million or more.
A 2021 report by public policy group Third Way analyzed data from the federal Education Department’s College Scorecard tool and found that most bachelor’s degree programs paid off within 10 years or less. However, some degrees never paid off, with graduates from these majors being least likely to earn more than the average worker with only a high school diploma. These majors include Drama, Dance, Film and Studio Arts, Visual Arts, Video Arts, Music, Zoology, Ecology, Anthropology, and Religious Studies.
On the other hand, Third Way found that many majors pay off their investment in less than five years. These tend to be in STEM (science, technology, engineering, and math) and health care fields. These areas of study pay for themselves quickly and often lead to high incomes and a higher-end lifestyle. This finding is consistent across research studies conducted by various organizations, including the Georgetown education center study and Brookings Institute study.
A high starting salary isn’t the only consideration when choosing a major. Some degrees could make you more employable than others. For example, LinkedIn data show that the top in-demand jobs for 2021 require at least a bachelor’s degree, but many of them also require specific majors because they require a specific skill set. Jobs listed by LinkedIn, like psychotherapist, registered nurse, and elementary school teacher, all require specific majors.
However, specializing in one area could also backfire. ZipRecruiter warns that average earning projections or even the current in-demand jobs shouldn’t be the only consideration when choosing a major. Many occupations may disappear before you graduate or soon after due to technological, cultural, and political changes. They can even disappear or lose demand because of society-changing global events like the coronavirus pandemic.
A 2020 Best Colleges survey found that nearly two-thirds of surveyed grads regretted their choice of major. Some of these people indicated they wish they’d pursued a passion instead. But unsurprisingly, 30% would change their majors for better job opportunities. Money is certainly a factor when choosing a major. After all, the PayScale survey found the most regretted majors are the ones with the least earning potential. And that can compound financial issues related to high student loan debt.
A 2019 Insider and Morning Consult survey found nearly half of millennials who are still paying off student loan debt feel college wasn’t worth it. A major that leads to a well-paying career could enable people to pay off student debt quickly, making college feel more like money well spent. But a high income isn’t everything. A 2021 ZipRecruiter survey found that after accounting for job satisfaction, stress level, and opportunities, the most regretted majors include high-paying science majors as well as low-paying arts majors.
Looking at the research, it would seem your choice of major impacts your overall career success. But that assumes specific majors always lead to specific careers, which isn’t the case. Aside from preprofessional majors, such as nursing, college degrees aren’t necessarily a direct pathway to a career. In a 2014 paper, data analysts from the Federal Reserve Bank of New York found that only 27% of college graduates work in the same career field as their major.
According to the World Economic Forum, 65% of children entering elementary school today will work in jobs that don’t yet exist. Thus, it’s likely today’s college students will find themselves employed in jobs they never imagined. That makes it nearly impossible to choose the “right” major to match your future career.
Another reason skills may matter more than majors is because jobs in emerging fields tend to cross disciplines. Thus, if you pigeonhole yourself in one area of study, you may not develop the skills employers are looking for. For example, it’s not uncommon for well-meaning parents and advisors to push students into STEM majors, hoping it will prepare them for a career in the lucrative tech field.
A 2021 Association of American Colleges & Universities survey found 4 out 5 employers surveyed would be more likely to hire a job candidate who had completed an internship or applied experience in college, including work-study experiences, portfolios, mentorships, or study abroad. These were all considered more important than the choice of major.
Many parents and students have an idea which majors earn the most, but they don’t understand the vast differences within them. For example, The New York Times reports that the typical business graduate earns $2.86 million over their lifetime. A middle-of-the-pack English major doesn’t do much worse at $2.76 million.
Ultimately, your choice of major likely does matter. It just may not matter for the reasons you think. Surveys of college grads tend to show a significant proportion regret their choice. But there’s no need for that regret to be about your future career prospects since most hiring managers tend to emphasize experience and skills over college majors. The likely reason so many degrees earn reputations as leading to poor-paying jobs is because grads simply don’t know how to transition from college into the real-world workplace. And that’s where higher education has plenty of room for improvement.
