analytics Return on Investment Analysis

Reed College

Comprehensive ROI analysis based on tuition costs, graduate earnings, financial aid, and long-term earning potential.

ROI Summary

Total 4-Year Cost

$268,080

In-state tuition x 4

Earnings Premium

$3,607/yr

vs high school diploma avg

Break-Even Point

74.3 years

After graduation

20-Year ROI

-73%

Return on investment

insights

ROI Analysis

Reed College's high tuition cost of $67,020 per year contrasts with its graduates' earnings. One year after graduation, the median salary is $29,077, increasing to $38,607 after five years, and $62,927 after ten years. The median debt for graduates is $21,500, and 38.4% of students receive financial aid.

Given the median debt and earnings data, the debt-to-income ratio can be calculated. The one-year debt-to-income ratio is approximately 0.74, while the five-year ratio is approximately 0.56. The ten-year ratio is approximately 0.34.

Based on the provided data, a break-even timeline can be estimated. Considering the median debt of $21,500 and the difference between the annual tuition cost and the one-year earnings, it would take a graduate more than two years to earn back the initial tuition cost.

Generated from College Scorecard & IPEDS data

The Numbers

payments

Annual Tuition (In-State)

$67,020

credit_card

Median Debt at Graduation

$21,500

savings

Median Earnings (5yr)

$38,607

school

Graduation Rate

78%

volunteer_activism

Receive Financial Aid

38%

redeem

Avg Aid Amount

$0

Program-Level ROI

Program 4yr Cost Median Earnings (5yr) Est. 20yr ROI
Psychology, General. $268,080 $38,334 -75%
Economics. $268,080 $0 N/A
Political Science and Government. $268,080 $0 N/A
Linguistic, Comparative, and Related Language Studies and Services. $268,080 $0 N/A
Biology, General. $268,080 $0 N/A
Computer and Information Sciences, General. $268,080 $0 N/A
Physics. $268,080 $0 N/A
History. $268,080 $0 N/A
Multi/Interdisciplinary Studies, Other. $268,080 $0 N/A
English Language and Literature, General. $268,080 $35,350 -97%
Mathematics. $268,080 $0 N/A
Chemistry. $268,080 $0 N/A

Peer Comparison

Financial Aid Impact

Before Aid

4-Year Tuition$268,080
Median Debt$21,500

After Aid (Estimated)

Estimated Total Aid$0
Net 4-Year Cost$268,080

Methodology

ROI calculations are based on data from the U.S. Department of Education College Scorecard. The earnings premium is calculated as the difference between median graduate earnings and the national average earnings for high school diploma holders ($35,000).

The 20-year ROI formula: ((Earnings Premium x 20) - Total Cost) / Total Cost x 100. Break-even point: Total Cost / Annual Earnings Premium. All figures use in-state tuition and do not account for inflation, opportunity cost, or financial aid variations.

arrow_back Back to Reed College