In an era where the cost of college education skyrockets well beyond the reach of many, the quintessential dream of attending a four-year university is becoming increasingly fraught with financial peril. With the average yearly expense of attending college outranging entry-level wages, students and families across the nation are facing a daunting predicament: pursue higher education and bear the brunt of its exorbitant costs, or seek alternative paths that promise success and satisfaction. The question you’re likely asking is: if college is too expensive, what next?
As the financial landscape of higher education grows more inhospitable, it’s imperative to shine a light on the valuable, yet often overlooked, alternative routes to success and fulfillment beyond the traditional college pathway.
Read on to demystify the merits of trades and blue-collar work, fields that not only bypass the painful financial burden of college but also offer rewarding careers, financial stability, and the opportunity to fill critical roles in our economy.
What “College Is Too Expensive” Really Means
Average Yearly Cost
The average yearly cost of attending college in the United States now stands at a staggering $36,436. This figure encompasses tuition, fees, and room and board for a typical four-year institution. When we compare this to the cost of college from the previous century, the sharp increase becomes evident.
In the late 20th century, the cost of attending college was significantly lower, making higher education more accessible to a broader range of individuals. Because it made more financial sense, it also became normalized to assume college as a typical path into careers.
This stark increase in cost has not only made college less accessible but has also placed a considerable financial burden on students and their families. Because of this, it’s become more and more clear that the “assumed” path of college just doesn’t make the sense that it used to.
Out-of-State Tuition
One of the most significant disparities in college costs comes from the difference between in-state and out-of-state tuition rates. For students attending public universities outside their home state, the cost can be nearly triple that of in-state tuition. This substantial difference limits the choices available to college-goers, forcing many to remain within their state to avoid the prohibitively high costs of attending college elsewhere. The high cost of out-of-state tuition not only restricts student mobility but also impacts the diversity of student populations across universities.
On-Campus Living Expenses
The cost of living on campus adds another layer to the financial burden of college education. On average, a student living on campus can expect to spend close to $60,000 per year, with nearly $40,000 of that amount going towards tuition and fees alone. The remaining portion covers room and board, along with other miscellaneous expenses. How can a college student afford that?
These figures highlight the substantial financial commitment required to pursue higher education, especially for those opting to live on campus. The high cost of on-campus living, combined with rising tuition fees, places an enormous strain on students and their families, making it increasingly challenging to afford a college education without incurring significant debt.
Paying the Price for Loans
The current solution to the above financial fiasco? Loans! College loans are now considered part-and-parcel for the benefit of those who want to attend 4-year colleges (or more.) And while it can make sense for those with certain career goals, it bears considering whether that’s right for you.
After all, the costs above aren’t where you actually end up. Firstly, the loans themselves come with interest – and that interest can be crippling. Up to 62% of federal student loan borrows say they expect they’ll miss at least one payment, and this applies even to households making over $100,000 per year!
Next, you have to consider the opportunity cost. College is an investment, and while many work nights as they go to college, there’s still a loss of income due to your availability, the jobs you can work during that time, and the fact that you can’t be busy 24 hours of the day. The potential loss of income while attending college just adds to the burden brought on by student loans.
If you’re paying the average $36,000, and missing out on even the lowest entry level salary of $24,000 per year, that’s $60,000 every year you aren’t making. At the end of your college career, you will have essentially lost $240,000 in the upfront loans (before interest) and opportunity cost.
That’s a lot of money for someone in their early 20s, just starting a career and looking towards starting a family.
Finding a New Path
So, college is too expensive. But where does that leave you? If you were planning on going to college, or even just thinking about it, it may have been your “option A.” What would “Option B” even be?
The good news is that “Option B” is something that millions of your peers are also discovering: the trades.
A Real Career Without the Debt
The most immediate benefit of entering a trade is the ability to dive directly into the workforce, sidestepping the increasingly prohibitive expense of college tuition. This choice not only spares individuals from the burden of student loans but also sets them on a fast track to gaining practical, hands-on experience in their chosen field. The trade route represents a direct investment in one’s future career without the detour of accumulating debt.
Growth and Development Opportunities
Trades are far from static, offering vast opportunities for continuous learning, skill enhancement, and professional development. Contrary to some misconceptions, a career in the trades doesn’t mean a lifetime of monotonous labor; it’s a dynamic pathway filled with the potential for growth, specialization, and even transition into related fields. This aspect of trades challenges the traditional view of higher education as the only route to career advancement and personal growth.
The Rising Demand for Trade Skills
The Aging Workforce Dilemma
A significant portion of the current trade workforce is nearing retirement age, leading to a critical shortage of skilled workers in essential industries. This demographic shift presents a unique opportunity for new entrants to fill the gap and secure their place in fields that are foundational to our society’s functioning, such as electrical work, plumbing, carpentry, and beyond.
Opportunities Across Industries
The demand for skilled trade workers spans a broad spectrum of industries, from advanced technology to critical infrastructure roles that ensure our communities operate smoothly. The versatility and essential nature of trade jobs mean that skilled workers enjoy a level of job security and opportunity unparalleled in many other professions. These roles are not just about maintaining the status quo; they’re about building and innovating for the future.
Financial and Entrepreneurial Opportunities in Trades
Starting to Earn Sooner
One of the most compelling arguments for choosing a trade is the ability to start earning while learning. Many trades offer apprenticeships or on-the-job training programs, allowing individuals to gain practical experience and make a living simultaneously. This immediate income stream is a stark contrast to the deferred earning capacity of college students, who often face years of study before entering their chosen career field.
Rapid Wage Growth and Entrepreneurial Potential
Trade careers offer significant opportunities for wage growth, with skill levels and experience directly correlating to earning potential. Not to mention the trades are a fertile ground for entrepreneurship; many trade professionals go on to own successful businesses, leveraging their skills to create opportunities not just for themselves but for others in their community. This pathway to success underscores the trades as not only a viable alternative to college but also a route to achieving financial independence and personal fulfillment.
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Ken Rusk is a blue-collar entrepreneur who has started several successful endeavors and mentored hundreds of young people in their pursuit of a satisfying career and fulfilling life. Discover how Ken’s approach to life and work can help you set and achieve your goals – all while avoiding the nearly inescapable trap of college debt. Get a copy the Wall Street Journal bestselling book, Blue Collar Cash today!
