A College Education Saddles Young Households with Debt, but Still Pays Off
Daniel Carroll and Amy Higgins
The labor market bonus for completing a college degree is not fully realized in the early years of working. Looking at the wage income of households headed by an individual between 30 and 65 years of age reveals a much larger premium, both at the median and the 90th percentile. In many professions, a college degree combined with work experience opens the door to senior-level administrative positions and higher salaries. The average wage-income premium among these older households was 88 percent for degree-holding median earners and 93 percent for 90th percentile earners.