The Math is Easy: More Education Leads to Higher Income

Data from 2007 from the Bureau of Labor Statistics (BLS) confirm that more education leads to higher income. For example, a person with a 4-year degree (bachelor’s) can expect a median weekly salary of $987. With a high school education, the individual will earn only $604 per week. The difference in pay is significant when considered over a working lifetime of 40 years. In addition, the BLS reports that a person with a master’s degree earns $1,165 weekly.

Education Leads to Promotions

Over the past two decades, I have worked in huge companies like Shell Oil and USAA. When applying for internal positions, the job announcements are clear about experience and educational level required. In many cases, employees have the necessary experience to step in and do the work. However, many employees are lacking the level of education mandated by the job.

In my role as a college professor, many students complain regarding being “passed up” for a position by less experienced employees who meet the educational requirements. While I sympathize with my students, the bottom line is that employers are looking for individuals with a higher level of education.

Why?

As you take more advanced classes, especially at the master’s level, you develop the ability to consider problems from a macro perspective. In other words, you are thinking “outside the box” or “expanding your box.” The leaders of today’s companies are interested in employees who can initiate change in a chaotic environment. As most of you know, on-the-job training is now a luxury.

Make the Investment

I recommend you decide exactly the position you want to have in the future. Based on that knowledge, you can start today to earn the degree that will help you meet your goal. If you begin today, you can earn a bachelor’s in about three years. A master’s can be earned in less than two years. Remember that time is going to pass whether you decide to improve your situation or not.

Of course, you will need to work hard and to pay for this opportunity, but the recent data from the Bureau of Labor Statistics is clear that this investment will reap tremendous monetary rewards for many years to come. In short, the math is on your side.