Trade School as an Alternative
My response to these statistics is that people approaching high school graduation should seriously consider trade school, particularly if they are not at the top of their class. A traditional four-year degree is not for everyone, and trade school offers a pretty compelling career path, especially when considering the factors associated with a college education outlined above. I’ll provide an overview of what a trade school education is, who it would be best for, and some of the advantages of trade school vs. college.
What is a Trade School or Vocational School?
A trade school, also known as a technical or vocational school, is an educational institution that exists to teach skills related to a specific job. Trade schools are a more streamlined approach to education, with curricula focusing on developing a particular skillset and knowledge base for a career rather than receiving a general education. Trade schools typically take a lot less time to complete, have smaller class sizes and the majority of the training is hands-on, which is an ideal environment for many types of learners. Vocational degrees can lead to well-paying jobs like electrician, mechanic, machinist, pharmacy technician, nuclear technician and dental hygienist, with room for growth and managerial potential in each field.
Advantages to Trade Schools
1) Salaries for Trade School Jobs
For starters, salaries for trade school graduates aren’t that much of a drop-off compared to a four-year degree. According to the National Center for Educational Statistics, technical and trade school jobs have a median annual salary of $35,720, though this figure varies heavily based on the particular industry and the experience level of the worker. The BLS predicted earnings for bachelor’s degree holders to be roughly $46,900, amounting to an annual difference of $11,180. This stat, of course, doesn’t factor in long term earnings growth.
However, because trade school only takes an average of two years to complete versus four, that amounts to an additional two years of income for the trade school graduate, or $71,440. Factor in another $70,000 in costs for the many students who take an extra year to graduate from college, and trade school grads can be over $140,000 ahead at the get-go, making up for over 12 years of difference in income.
2) Price of Education
The average trade school degree costs $33,000, which, compared to a $127,000 bachelor’s degree, means a savings of $94,000. But that’s not all! If you assume that students are fully financing their education with loans at 4 percent over 10 years, the bachelor’s degree will cost $154,000, while the trade school degree will cost only $40,000. That’s a savings of $114,000 just on the degree.
Of course, most students in both cases won’t fully finance their education. They’ll work and find other sources of income to help with the process, meaning the gap will be smaller in the average case. Research gathered in 2012 suggests that the average college student debt load is $29,900, and that number rises to $36,327 when factoring in interest. Conversely, the average debt load for students graduating from a two-year technical school is $10,000, roughly 70 percent less than the four-year graduate.
3) Job Security
Yet another advantage of technical trade school is that most of the jobs you’ll get are extremely difficult to export to another country. More and more jobs are being outsourced to places where labor is cheaper, making domestic employment in certain sectors difficult to get. It is much easier to export, say, computer programming work or other information economy work than it is to export carpentry or electrical work, as that requires a physical presence.
Not only that, but there’s a growing domestic demand for high-precision skills. According to Forbes, skilled trade workers are a disproportionately older population, and will only continue to get older, creating increased opportunities for young workers to fill their shoes.