Hey guys!
So as may 1 approaches quickly, I find myself debating on wether to attend a generic state school and come out with no debt or a more prestigious private school which would most likely end up with nice chunk of debt in the end. Both schools have the degree program that I am wanting, and I can see myself living at both over the next four years. Obviously the prestigious one has a higher national ranking and what not, but I am just not sure on whether it is worth the cost. Thanks for any input you have on this topic!!
What career are you going into? For most the prestige doesn’t matter. There are a few where it could.
@juniorjumper19 While you may momentarily relish the prestige and be the envy of your friends and acquaintances in the short term, your older self will thank you profusely if you get the same degree from your state school without having to pay off for years into adulthood “a nice chunk of debt.” Large undergraduate debt can be debilitating and delay the life that you want to live.
Look at hiring rates and pay for graduates of your chosen major. Low hiring rates and low pay - find another major. Low hiring rates and high pay - go for the place with higher prestige, since that can increase your chances of employment substantially. High hiring rates and low pay - go to the cheapest option. High hiring rates and high pay - go what ever you want, though cheaper is usually better.
Also look at internship opportunities and placement. Some schools are better at this than others, and often the most prestigious schools are the worst at internship opportunities, since many of their students do not need any support for this from the college.
Your other thread says you’re from Texas and your parents can pay $15k/year. You can only borrow $5500/year. What are the 2 schools and how much debt are you talking about?
@austinmshauri the choices are Texas Tech and SMU
@washugrad not exactly sure yet, but Finance or Accounting
You know what matters? Fit. If you don’t like the school and can’t see yourself enjoying 4 years there, it makes no sense going there.
And I disagree about picking a major based on future earning potential. When you die, you can’t take it with you. So don’t spend your life working a job you don’t like because it pays well. Do you what you enjoy.
Graduating with little to no debt should be a top priority. If you can see yourself at Tech, I’d go there.
If you are an accounting or finance major, I would go the SMU. It is ranked like #7 . You will land a better job and the return on investment will pay for itself with this major. If you had said history or english I would say no debt and go with tech. But graduates of highly ranked business schools are in the enviable position of having high paying jobs right out of college.
Prestigious schools may offer various opportunities that may not be available at another school, but so does lack of debt. Significant debt can hold one back for years.
I vote for Texas Tech.
Highly consider the Generic State school with No Debt.
What would be the net cost of each?
What % of graduates get jobs?
If you are graduating as an accountant, your starting salary will be low. It will rise over time. However the students loans will still be there.
However, students should be aware of the earning potential associated with their desired majors and careers, so that they can plan accordingly. I.e. if choosing a career with low earning potential, the student should avoid college debt and know that s/he needs to live frugally in order to do what s/he enjoys for a career. If the earning potential is too low (for whatever his/her definition of “too low” is), s/he may choose to do it as an “extracurricular” while doing something else for a career (common among those who do performing arts while doing better paying day jobs).
Texas Tech is the wiser choice because you can then afford to get a master’s degree in accounting, finance or taxation.
Most jurisdictions (states) now require 120 semester hours in order to qualify to sit for the CPA licensing exams. Most use this fifth year to get a master’s degree. This can be done at a school other than your undergraduate school.
150, not 120, right?
Since a master’s degree is typically not required, don’t some students just take low cost community college courses to run up the credit count to 150?
Especially given how average future earnings cited cannot really predict what any individual would earn.
If you are an accounting or finance major, you will most certainly factor in the debt (and its interest of course) into any ROI calculation. I know that there are many finance majors that end up earning spectacular salaries that totally eclipse the amount of college debt one might have. But there are many more that don’t. And remember once you are earning an income, that every dollar you are not repaying in debt is a dollar you could be investing.
Yes, 150 hours is correct. Essentially, 150 hours means a fifth year of study.
if it were a comparison between TTU and say Rice, I think it would be more of a “brainer” but I have to think it’s pretty much a no-brainer for TTU from what I’ve heard.
Huge thanks to everyone and their feedback, I really appreciate the different opinions! I’m only 18 and already having to make decisions that will truly impact the rest of my life, huge respect to any and all of those who know what they are doing!
It depends upon how much is the cost difference. If it’s not a huge difference then visit both and pick one you like better. It’s not smart to automatically go for the cheapest when you can afford both and when it comes to 4-5 years of your life and education.