Average net worth of U.S. households headed by a young, college-educated adult without any student debt obligations.
Average net worth of U.S. households headed by a young, college-educated adult with student debt obligations.
The Takeway: This confirms what we already know. Investment in higher education can be the best investment you ever make, if you do it carefully and thoughtfully. Once you’re out in the workplace, you will have student loans to pay back, but don’t let that make you delay starting to save in your 401(k) or other workplace plan. Save less, if you need to, but get going. With compounding, you can soon catch up, and your degree should result in higher earnings down the road.
Source: Pew Research Center