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Student Loan Debt Is An Investment!

I’ve heard many people lament over how much they owe in student loan debt but very few have considered it an “investment,” as they should. According to a Salary.com, the difference between a B.S. and a high school graduate (or GED) is $17,000 a year (from a 2003 article [3], but the differences are probably the same order of magnitude). If you have $100,000 in debt, that means that you’re getting a 17% ROI on your college education, I’ll take that any day.

Also, remember that student loan interest is tax deductible (depending on how much you earn, it starts phasing out after $50k AGI) and the interest rates are probably relatively low, so you’re getting a pretty sweet deal if you think about it!


Thinking about getting a masters? If you can’t get funding to do a thesis (or get the company you work for to pay for it) and have to pay it on your own, it’s worth, on average, $10,000 more a year. Oh, and, if you want another reason to go into debt to fund college, Salary.com estimates that a bachelor’s degree is worth $2.1M over your entire lifetime [article [4]].

Just something to think about the next time you think about your student loan debt. 🙂

By the way, I think it’s totally reasonable to complain about student loan debt because private universities are ridiculously expensive to attend (but clearly well worth it) and in part because I have student loans I need to repay too (it’s not as high as some but we’re all in the same boat)… and I enjoy complaining too. 🙂