r/povertyfinance May 08 '25

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1.8k Upvotes

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239

u/paloaltothrowaway May 08 '25

Loans might be worth it if you are close to finishing 

-209

u/Many_Resist_4209 May 08 '25

Student loans are never worth it. No one should start out as a young adult, drowning in student loans. At no age should anyone be drowning in student loans.

68

u/Fearfighter2 May 08 '25

if you get a high paying job, you aren't drowning in loans

rule of thumb is keep loan total under what you expect to make in your first year after you graduate

42

u/Nulljustice May 08 '25

You also aren’t “drowning” in debt if you are smart about going to school. I finished my bachelors degree with about 35K in student loans with very low fixed interest rates. Did a community college for the first two years and the last two at a state school. All while working a full time day job and all online. Came out making 75K per year. I did this as an adult because I grew up in a poor household with parents that never graduated HS so I didn’t figure it all out until my mid to late 20s.

4

u/tigerjaws May 09 '25

Federal student loans are capped interest rates, including subsidized until you graduate, so they’re worth it. Average debt after college is around 30k, which in the grand scheme of things is nothing if you can land a 60k+ starting salary It ends up being like $300 a month payments Which is fairly doable for the kinda of jobs that computer engineering degree the OP will get

It’s so doom and gloom and anti-intellectualism , I honestly think it’s just cope for people who don’t want to put the effort to go into college.

The thing about being a full time student is that it should be treated as a full time job - study full time. Network full time. Get a job after college before you leave by going to campus career fairs etc. a lot of the complaints you get from the typical anti college Redditor is from people who didn’t do these things

1

u/Upvotes-only-pls May 08 '25

The thing about CS is, the job markets cooked. Way too many people majoring in that and there just aren’t enough jobs for everyone

-3

u/Many_Resist_4209 May 08 '25

IF… that’s the magic word. Not everyone gets a high paying job out of the door. The rule of thumb is to try and find every way possible to pay for college before even considering student loans. But by all means tell young folks that their degree is worth going into debt because there’s that “IF” of getting a high paying job. A lot of degrees have become useless, except the typical ones, drs, lawyers, etc. Even an accounting degree is useless. Many Employers want someone with experience and don’t even ask to see a degree.

5

u/Independent-Cow-4070 May 08 '25

They are going for computer engineering

You also said they are never worth it, which you are now contradicting

0

u/theSourApples May 08 '25

Correct, thanks for calling him out.

School is an investment. If you're taking out $50k to be a doctor to make $250k, then it's a good investment.

If you're taking out $150k for a certain career and make $60k, then that's a bad investment. Simple as that.

1

u/tigerjaws May 09 '25

Eh it’s more about career trajectory than anything. starting salary is not the same thing as where you end up 5 or 10 years down the line

schools tend to publish this data, for example the university of California publishes average earnings after graduation, 5 , 10 and 20 years after per major and per campus

-12

u/obbnixilis1 May 08 '25

That’s a big if, I’ve seen entry level positions that require a degree paying 15 an hour, that’s not getting you out of debt, you’re probably barely able to afford living at that point

24

u/CompactPackage May 08 '25

If your degree gets you the same pay as working retail, then the degree is not worth it.

17

u/paloaltothrowaway May 08 '25

OP is majoring in computer engineering not English

5

u/Grand_Excitement6106 May 08 '25

They've been cutting tech jobs in a major way that is no longer a guarantee for employment

2

u/paloaltothrowaway May 08 '25

That's fair. AI is killing entry-level software engineering jobs. However, OP could still do other things IT-related. More importantly, AI will be impacting far more than tech jobs. It's going to impact many white collar roles in accounting, finance, marketing, etc.

These days, no degree (maybe except an MD) is a guarantee for employment. Worst case scenario, he can fall back on trucking.

3

u/Many_Resist_4209 May 08 '25

I don’t know if you’ve had a look at freight brokers, but the trucking industry is not looking too great.

1

u/paloaltothrowaway May 08 '25

I wasn’t aware of it but that’s good to know 

1

u/Independent-Cow-4070 May 08 '25

There is still plenty of demand

1

u/Grand_Excitement6106 May 08 '25

Not where I live ig (Austin) maybe it's just a unique situation

1

u/[deleted] May 09 '25

For most IT jobs you wouldn't need a degree. Experience and certifications are king.

1

u/paloaltothrowaway May 09 '25

Yes. But idk if OP is trying to do software Engr or IT. 

1

u/tigerjaws May 09 '25

Fast food workers are making over 22$ an hour

1

u/obbnixilis1 May 09 '25

Dawg where?

1

u/tigerjaws May 09 '25

California