When you look at the price tag of a traditional four-year college degree, which can easily reach six figures, it's completely normal to pause and ask if it's worth it. You might feel pressure to follow a specific path, but we want you to know that your financial roadmap doesn't have to look like everyone else's. Your journey to self-fulfillment and financial stability isn't defined by a single piece of paper.
Do averages tell the whole story?
It's true that, on average, workers with four-year degrees earn $22,000 per year more than those with only a high school diploma. Even when you factor in the cost of college and the four years spent studying instead of working, a bachelor's degree often pays off over time.
However, relying solely on averages can be tricky. It's like the story of the statistician who drowned in a river whose depth averaged just three feet. Averages don't tell the whole story of your specific potential.
Some industries are shifting to emphasize certifications over a college education. Others hire based on your actual knowledge and skills, not where you learned them. In fact, many companies, including some very prominent household names, have waived the college degree requirement for many positions.
Household names without degrees
If you're worried that skipping college puts a ceiling on your success, just look at the history books. Bill Gates, Oprah Winfrey, Michael Dell, Richard Branson, Jay-Z, Ted Turner, Anna Wintour, and Larry Ellison all have one thing in common: none of them have college degrees. Well, they actually have two things in common, as they all have very high-paying jobs.
Larry Ellison actually dropped out of college twice before founding Oracle, and now he owns his own Hawaiian island. Russell Simmons never finished college, but that didn't stop him from co-founding Def Jam Recordings. Steve Jobs launched Apple with co-founder Steve Wozniak from his parent's garage and became a billionaire several times over.
Becoming an entrepreneur or an entertainer doesn't require a degree. Dave Grohl of Foo Fighters and Nirvana fame dropped out of high school to become a wildly successful musician, producer, and filmmaker. Even his mother, a public school teacher, approved of his career choices.
Going back even further, Abraham Lincoln passed the bar without ever attending law school, which was fairly common at the time. Obviously, his lack of a law degree didn't harm his career.
Major companies dropping degree requirements
As it turns out, a lack of a college degree won't harm your career at some of the biggest business names in the country today. Several major corporations now offer in-house certification programs and on-the-job training instead of demanding mandatory associate or bachelor's degrees.
Google (Alphabet), which was founded by two college dropouts, has dropped college degrees from the list of requirements for many positions. Instead, Google offers a certificate program in IT Support to help students attain entry-level IT roles.
Google isn't an outlier here. People without college degrees can get hired at Apple, Netflix, Starbucks, Zoho, and QBurst. IBM has been hiring non-college graduates for decades and offers an in-house apprenticeship program to help train and hire people without degrees.
Bank of America, Costco Wholesale, Tesla, Dropbox, Penguin Random House, and many others favor ability and attitude over a college degree for many positions. Not only are companies discovering that many highly-qualified applicants don't have degrees, but there is mounting evidence that requiring a college degree disproportionately excludes candidates of color.
High-paying careers with less student debt
Many healthcare and construction careers require job training or certification but not a four-year degree. Other careers are easily attainable with only a two-year community college degree, and some of these are high-paying jobs that don't necessarily involve hard labor.
For example, Air Traffic Controllers can make six figures. This job isn't physically demanding, and it only requires a two-year associate degree (AA) and specialized training.
Web developers, police officers, firefighters, electricians, and plumbers can all make mid-high five-figure salaries without a single day of college. Some of these roles even come with pensions. The solar panel industry is growing, and technicians that can install panels are well-paid.
Growth in the trades
Many industries have apprenticeship and certification programs, and some blue-collar sectors are eager to find new workers. The US Bureau of Labor Statistics estimates that the demand for wind turbine technicians, a job that pays an average of $56k, will grow by 44% over the next few years.
Other occupations that don't require a college degree, including movie projectionists, cooks, umpires, and animal caretakers, will also see double-digit growth rates in the foreseeable future.
Many of these occupations can eventually grow into entrepreneurship opportunities. Many mechanics, plumbers, and electricians began their careers working for someone else before starting their own businesses.
College and its six-figure cost may not be for you, and that's okay. Many promising careers don't require ever setting foot on campus.
The Facet difference
At Facet, we believe your money is a tool to help you live the life you want, regardless of the degree on your wall. While traditional firms might focus solely on assets under management, we focus on your entire life. Our flat-fee membership model means we don't take a percentage of your portfolio, so our advice is objective and centered on your values. Whether you're starting a trade business, climbing the corporate ladder without a degree, or navigating student loans, we're here to help you build a roadmap that leads to true financial wellness.
