Released August 6, “Golden Returns: A Regional Look at the Return on Investment (ROI) of California’s Community and Career Colleges” – prepared by the College Futures Foundation and The HEA Group – examines more than 1.2 million students attending public, nonprofit, and for-profit institutions statewide, using U.S. Department of Education data.
To determine ROI, the study first evaluated the out-of-pocket expenses that students pay to earn a credential or degree. It then assessed additional earnings after attending a particular institution. Students at Miramar, Mesa, and City colleges are recovering their educational costs almost immediately after enrolling, as many students pay little or no out-of-pocket expenses because of programs such as the San Diego Promise and other financial aid. Median annual earnings 10 years after a student enrolls at Miramar College are $15,748 more than someone with just a high school diploma. The median earnings for Mesa College alumni are $12,644 more than those with just a high school diploma, and median earnings for City College alumni are $6,027 higher, according to the study.
“It's very energizing to see Miramar College recognized for the work the campus community has done in creating a caring, kindness-oriented college that truly puts students front-and-center in everything we do,” said Miramar College President P. Wesley Lundburg. “With 35 years in higher education in five different states, I can genuinely say that this is by far the most focused community college committed to meaningfully changing the lives of students and the trajectory of their families. I’m proud to be part of this college.”
Said Ashanti T. Hands, president of Mesa College: “Return on investment in education is about more than dollars. It is about the return of confidence, opportunity, and possibility for students who have historically been excluded from those outcomes. At Mesa College, we are proud to create programs and pathways that deliver strong economic value while honoring the dreams and potential of every student we serve. We are working to align policy, programming, planning, and purpose to ensure students aren’t just welcomed but positioned for success beyond completion.”
Added City College President Ricky Shabazz: “Being ranked number four in the state for return on investment shows that San Diego City College is making a real difference in people’s lives. Our students are gaining the skills they need to move forward, earn more, and create better futures for themselves and their families. This recognition proves that what we’re doing works and that our focus on equity, social justice, and student success is paying off.”
Public institutions remain California’s strongest ROI performers. Students at 40% of public institutions are recouping their costs in less than a year, compared to just 5% of private institutions. Students at 45% of private institutions do not see any ROI whatsoever, according to the study.
“In a state with a high cost of living, understanding this payback timeframe is essential for learners making decisions that will impact their financial futures for decades,” stated the study’s authors.
Skyline College in the Bay Area city of San Bruno ranked No.1 in the ROI study, with students recouping their educational costs in almost no time and having median earnings $23,226 higher than those with just a high school diploma.