Grand Rapids, MI, September 9, 2025
News Summary
A Georgetown University study has unveiled notable discrepancies in the return on investment (ROI) among higher education institutions in Michigan. Analyzing data from 4,500 schools, the research indicates that some community colleges, like Schoolcraft College, offer ROI comparable to four-year universities. Meanwhile, top-ranked institutions such as Kettering University and the University of Michigan continue to excel. Michigan’s educational landscape faces challenges, with low college attainment rates and rising student debt, yet the study emphasizes the long-term benefits of obtaining a college degree.
Georgetown Study Highlights Significant ROI Discrepancies Among Michigan Colleges
Grand Rapids, MI – A recent analysis by Georgetown University reveals significant discrepancies in the return on investment (ROI) among higher education institutions in Michigan. The study examined federal data across 4,500 schools nationwide and found that some community colleges provide ROI comparable to that of four-year universities, especially in the short term.
The analysis offers preliminary estimates of lifetime ROI for students in various U.S. colleges, though it has acknowledged limitations. Utilizing the federal College Scorecard data, the study provides insights into the financial payoffs of different colleges, highlighting the earnings disparities among graduates.
Notably, Kuyper College in Grand Rapids has an ROI of approximately one-third that of Kettering University, an engineering-centric institution in Flint. Kettering University stands out as a premier institution that boasts a record of successful alumni working in major corporations. Alongside Kettering, the University of Michigan and Michigan State University also rank high in ROI, with private institutions like Lawrence Technological University and Cleary University following suit.
Michigan’s Education Landscape
Despite these high ROI figures, Michigan faces a low college attainment rate, with fewer than 30% of adults holding at least a bachelor’s degree. Public universities in Michigan also charge among the highest tuition fees nationally due to decreasing state support. Families in Michigan typically pay an average of 69% of the total costs associated with public universities, ranking the state the sixth-highest in this category across the country.
The financial aid landscape in Michigan is limited, contributing to a rise in student debt that has increased by $10,000 over the past decade. Enrollment figures in rural Michigan are lower than those seen in suburban areas, a trend primarily attributed to financial concerns surrounding student debt. Despite increasing tuition and debt, experts assert that investing in a college education remains worthwhile. Individuals who earn a bachelor’s degree are projected to make approximately $1 million more over their careers compared to those with only a high school diploma.
Community College Success Stories
Community colleges demonstrated impressive ROI in the findings. Schoolcraft College, for example, has an ROI of $769,000, surpassing several four-year institutions, including Northern Michigan University, which reports an ROI of $738,000. Northern Michigan University’s ROI is partially driven down by the number of students obtaining associate degrees or certificates rather than bachelor’s degrees.
The study underscores the importance of financial data in education, as the current earnings figures are based on a ten-year window post-enrollment. The data do not account for inflation or potential salary increases over time. This highlights the need for continued financial support and strategic initiatives to make higher education affordable and accessible.
Future Goals and Initiatives
Looking forward, Governor Gretchen Whitmer aims to increase the percentage of Michigan adults with post-high school credentials from 43% to 60% by 2030. This includes promoting efforts to make college tuition debt-free and providing greater financial assistance opportunities for students. The Georgetown study emphasizes the ongoing demand for skilled graduates across multiple job markets, showcasing the clear advantages of obtaining a college degree.
FAQ
What does the Georgetown University study focus on?
The study focuses on analyzing return on investment (ROI) among various higher education institutions in Michigan and across the U.S., utilizing federal data and College Scorecard metrics.
How is ROI measured in the study?
ROI is measured based on the estimated lifetime earnings of graduates from different colleges, comparing earnings disparities among institutions and types of degrees.
Which Michigan colleges have the highest ROI?
Kettering University, the University of Michigan, and Michigan State University have some of the highest ROI rankings in Michigan.
How do community colleges compare to four-year universities in terms of ROI?
Some community colleges, such as Schoolcraft College, have been found to offer ROI that exceeds several four-year universities, particularly in the short term.
What are the goals of Michigan state initiatives regarding college education?
Governor Gretchen Whitmer aims to increase the percentage of adults with post-high school credentials from 43% to 60% by 2030, promoting initiatives for debt-free college education.
Key Features of the Study
| Institution | ROI |
|---|---|
| Kettering University | High ROI |
| University of Michigan | High ROI |
| Michigan State University | High ROI |
| Schoolcraft College | $769,000 |
| Northern Michigan University | $738,000 |
| Kuyper College | Low ROI |
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Additional Resources
- Bridge Michigan: Choice of Michigan College
- Stacker: Best ROI Colleges in Michigan
- The Livingston Post: Cleary University ROI
- U.S. News: MBAs with the Highest Return
- Money: Best Colleges
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