Reading earnings and debt numbers

Two of the most useful numbers on a college page come from the federal College Scorecard: what students earn about ten years after they enter, and how much federal loan debt they carry when they finish. Both are real measurements, and both have limits you should know before you rely on them.

Median earnings ten years after entry

This is the middle earnings figure, half of students earn more and half earn less, for students who first enrolled at the college, measured about ten years later. The Scorecard takes earnings from federal tax records. It counts only students who are working and not enrolled in school that year.

Median federal debt at graduation

This is the middle amount of federal student loans owed by students who graduated from the college and borrowed federal loans. Private loans, credit cards and money from family are not included. Students who graduated without federal loans are not counted in the figure.

What these numbers can and cannot tell you

• They are averages of a group, not a forecast for you. Your major, your choices after college and the local job market matter a great deal.
• Earnings do not show the field. Graduates in one major often earn far more than graduates in another. Use the earnings by major on a college page to compare the programs you want.
• Some students are left out. People who are not working, who are still in school or who live abroad are not counted in the earnings figure.
• The data is old. The figures lag by several years, so a new program may not have any numbers yet.
• Small groups are unstable. A college with few graduates can show a figure that moves a lot from one year to the next.
• Debt is not the whole cost. A low median can hide high debt for the students who borrowed the most, and debt is only one part of what you will pay.

A simple way to read them together

Put the two numbers side by side. Earnings a few years out tell you whether a degree leads to a job that can cover the loan payment, and a manageable debt means the payment takes a smaller share of that pay. Earnings much higher than debt is a good sign; debt that is high compared with likely earnings deserves a closer look.

Where to find them

• Each college page has a Cost and value panel with the figures and their sources. Open any college and look for “See all cost, debt and earnings figures.”
• Earnings by major appear on the same page, under “See every major.”
• To browse programs, see colleges by major.
• You can check the full data yourself at College Scorecard.

General information, not financial advice.