What Kind of ROI Should You Expect From American University?
Compare and review the expected return on investment on your The American University degree, below.
Your The American University Return on Investment
Use the estimated return on investment for American University below to decide if attending The American University is a smart financial decision for you.
Break Even In 4.6 Years at American University
College is expensive and every year spent getting your degree is a year of lost wages and additional expenses. To determine when you will make up for the costs of college (your Return on Investment), we will look at the estimated cost of a degree and the average starting salary of graduates from American University.
|Average yearly cost||$49,000|
|Average years to graduate||4.1|
|Average starting salary||$43,000|
- Be Wary of Excess Debt: According to the U.S. Department of Education. In 2012, the nationwide average salary for young adults with a bachelor's degree was about $47,000, while only $30,000 for those with a high school diploma.
- The "break even" calculation above does not include interest on student loans. How will your debt level affect your ROI?
The American University Major Specific Salary Info
Looking for a more specific return on investment estimate? Check out the salary you should expect based on your major at American University
Catch a High School Graduate Within 20 Years of Graduating
To determine the year when you catch up, we need to factor in the average earnings of a high school graduate. To simplify things, we will assume that the high school graduate starts out earning their full average salary of $30,000 and lives at home for free, while you must pay for your living expenses during college. After college, we will assume that you both have the same expenses.
The earnings from an average graduate at American University will surpass those of a high school graduate in 20 years.
For a more detailed and accurate look at early/mid-career earnings see the chart below.
Over 30 Years, a Degree at American University is Worth $1,339,000
Setting aside the time value of money, after 30 years, an undergraduate degree from American University is worth about $1,339,000 more than what it would cost you.
Your total earnings of $1,537,000 from your initial investment in tuition, fees and other expenses of about $198,000 gives you an annualized return of
If instead of going to college, you put that initial investment into Treasury Bills for 30 years at 5% you would have about $855,756