I spend way too much time on these “going to college” websites. Here’s something, written by a parent, I read recently. 

What Did YOU Do When Your Kid Was Accepted to College? 

“It is one of life’s big moments, a never-to-be-forgotten day, when your teen logs onto the website of the college they will attend and sees the word CONGRATULATIONS. Getting accepted to college is a unique turning point in life. Leading up to that moment there are fears, trepidation and an overwhelming sense of pride for what your teen has already accomplished. Applying to college is a feat and getting accepted to college is the moment of glory.” 

The moment of glory? What complete and utter nonsense. 

Thirty-five years ago, Stephen Covey wrote his famous book, The 7 Habits of Highly Effective People. Those habits haven’t changed in the ensuing years. 

Habit # 2 is, “start with the end in mind.” 

When it comes to college, getting accepted, is not “the end in mind.”  Your student has to graduate, score one of those relatively few well-paying, professional jobs, and avoid financially crippling student loan debt. 

That is not a simple task because college in America doesn’t work the way it used to. 

• Almost any high school graduate can find a college or university that will accept them because most four-year institutions (93%) aren’t that selective. 
• The federal student loan system has no underwriting standards. They loan money to any college student without regard to their academic ability or passion, e.g. puppeteering. 
• There are only so many well-paying, professional jobs available for newly minted college graduates each year. However, every Tom, Dick, and Harriet is being encouraged to go on to college.  
• High school GPA is highly predictive of success in college. Almost two out of three high school graduates who go on to college have a GPA of 3.5 or better. About three out of four of these students will graduate from college.  
• There are many more of these “book smart” graduates than there are good jobs. 

The academically unremarkable students who manage to graduate college are competing for a relatively small number of well-paying, professional jobs with academically superior graduates.

Let me translate those facts into what it means in regard to student loan debt.
When a dozen students matriculate, 56% with student loans, here is what happens:

Four graduate and score one of those well-paying, professional jobs. Most of these students will do just fine financially, but there are a few who, enabled by their parents, went crazy, e.g. borrowed foolishly to attend their “dream school,” who will be in serious trouble.

Five drop out, most after their freshman year. Their employment prospects are poor, but their student loan balances are low.

Three graduate but end up underemployed, e.g. making lattes. This accounts for most of the borrowers who are in serious financial trouble.
 

W-A-Y too many academically unremarkable high school graduates are being egged on to attend college. Their chance of success is poor.