As the more than 1,300 college graduates at BSU and Northwest Technical College crossed the stage on Friday to received their degrees, we’re sure more than a few may have been thinking: “Wow, I did it. Now, how do I pay for it?”
Student loan debt for college graduates continues to rise. According to the Institute for College Access and Success, the average student loan debt for the class of 2013 (latest data available) was $28,400, an increase of 2 percent from the previous year.
The institute’s report also showed that seven in 10 graduates (69 percent) had some form of student loans.
The state with the highest student loan debt? New Hampshire, with an average of $32,795. The state with the lowest? New Mexico at $18,656.
Six states had an average student loan debt of more than $30,000 and you guessed it, Minnesota was among them. Minnesota ranked fifth at $30,894.
Before too long, you wonder if secondary education in Minnesota and other states will out-price itself for the majority of residents.
However, many young people, and their families, take on these onerous student debts because they know of that other vital statistic:
According to the National Center for Education Statistics, “young adults with a bachelor’s degree earned more than twice as much as those without a high school credential (105 percent more) and 57 percent more than young adult high school completers.”
That’s the definition of a Catch-22: in order to earn more money as living costs rise, you need some type of post-secondary degree. And in most cases, to obtain a college degree, you have to take on a huge debt load.
In a letter to the editor on Sunday, BSU/NTC President Richard Hanson noted that within five years, fully 74 percent of the jobs in Minnesota will require some post-secondary credentials. Here in the Bemidji area, we know full well the skills gap that can hinder business and economic growth.
Hanson’s letter, which also was written with the support of several BSU and NTC administrators and students, was directed at this year’s legislative session and the need for the state to support higher education investment.
Extending the current tuition freeze at Minnesota State Colleges and Universities (MNSCU) and the University of Minnesota is a step in the right direction. As the legislative session winds down this week, we hope lawmakers take a solid look at properly investing in higher education. We can’t keep putting the burden on the students, because before too long, the students won’t be there.