I’m sure you’ve also heard the phrase “study a degree to get a good job”. Many of us went to university thinking that it would lead to good financial stability, that many doors would open for us just by going to college… And some of us believed it so much that we studied two degrees!
But the reality is that not all degrees offer the same economic return… Now, the Federal Reserve Bank of New York has revealed in a report that there are degrees which, even five years after graduation, still lead to very low salaries.
What is the report based on?
The research, based on data from full-time workers with a college degree (excluding current students), shows that some graduates are facing the lowest incomes in the U.S. job market. And they have a university degree!
The 2023 data also shows starting salaries below the U.S. median income of $48,060 for that year.
Which degrees top the list of lowest salaries?
Sorry if you graduated in foreign languages, social work, fine arts, anthropology, or anything related to education… Your salary won’t exceed $40,000 a year. Even after more than five years of work experience. And these jobs involve essential functions for society! But their salaries have barely improved in the last decade and are the worst paid on the list.
Why are these degrees so poorly paid?
There are several factors that directly affect these salaries, and the truth is that most of these jobs are in the public sector (education and social work, for example). In this case, they’re fields where pay is shaped more by vocational commitment than economic incentive. But that doesn’t mean those who studied them don’t want to be paid for their work!
On top of that, they’re among the most socially necessary jobs, how can they be the worst paid?
Meanwhile, other graduates in fields like engineering, computer science, or economics can make over $80,000 after five years, doubling the income of those who chose more humanistic paths. The salary gap is huge in the long run, and it doesn’t just affect purchasing power, but also saving and investing capacity.
Is it worth studying these degrees?
It depends! Not everything is about money or numbers, don’t you think? Some people choose these degrees because it comes from within, because they feel that’s where they belong, not because they want to get rich (well, we all love money but there are more things, I sure you). That’s fine, it’s called vocation, and it seems to be forgotten nowadays…
But of course, we can’t pretend nothing’s happening, because studying something that’s poorly paid also has consequences (student debt, trouble covering expenses, and often needing a second job just to make ends meet…).
What if the problem isn’t the degree, but the system?
Yas. Maybe the question isn’t if these degrees are “worth it” or not, but why we keep underpaying those who care for, teach, or support others. What does that say about us as a society? Want a clue?
If we stop to think for a moment, the problem isn’t making a bad choice, it’s a system that values production more than care. And that, honestly, should make us pause and rethink some things.
In the end, choosing a university degree is still one of the most important decisions we make in life. What you study can shape your financial future more than you realize. So if you’re looking for financial security… think carefully about what you want, and try to find a balance between what moves you inside and what can move your wallet