Recent graduates can relate to the report. Mary Kate Baumann, a 2010 graduate of a private college in upstate New York who also graduated from journalism and business graduate programs at the University of Missouri this year, said, “My undergraduate education was over $200,000 in total and my first job paid only $28,000. That’s a large disparity.”
Goldman Sachs calculated the economic return on college education as the “total all-in cost of college (net of grants and scholarships) and the wages foregone during the 4 years of study versus the wage premium that undergraduate degree holders enjoy versus high school graduates over their working life.”
While the National Association of Colleges and Employers reported in October that the job market for grads has seen recent improvements, Goldman Sachs said wages still aren’t cutting it to make up for education costs.