States With the Highest and Lowest Earning College Graduates
Find out which state's college graduates earn the most (and the least) on average.
We’re in the midst of graduation season — across the country, college grads are walking across the stage to accept their hard-earned diplomas. But after one big accomplishment comes another. Now’s the time to find a job and get serious about your finances. Not only does your degree factor into how much money you’ll make, but where you live also plays a part.
A recent study from Teach Simple determined the states with the highest and lowest median university earnings, using information from the U.S. Department of Education’s College Scorecard. The study analyzed and compared institutions within each state to determine the ranking order, considering three factors: median earnings of people who began college 10 years ago, the average annual cost a student who receives federal financial aid will pay to cover expenses and the average graduation rate within eight years of entering the school.
“Policies and regulations, such as minimum wage laws, tax policies, and labor regulations, differ across states and therefore impact earnings across institutions, says Cole Vineyard, founder of Teach Simple. “States with higher minimum wages or more worker-friendly policies may offer higher earnings for workers across all sectors.”
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Which states have the highest earning graduates?
According to Teach Simple’s data, these are the states with the highest earning graduates.
Also included is the institution in each state with the graduates who earn the most, four years after getting their degree, determined by Degree Choices. To determine which school had the biggest earners, Degree Choices analyzed 2022 data from the Department of Education’s College Scorecard on the median earnings of degree holders who received at least $1 in financial aid and who were working (and not enrolled) four years after completing their degree.
1. Massachusetts
- Average of each institution's median earnings: $65,319
- Average annual cost of school: $26,268
- Average graduation rate: 67%
- Institution with the biggest earners: Massachusetts Institute of Technology (MIT)
2. Rhode Island
- Average of each institution's median earnings: $64,818
- Average annual cost of school: $29,083
- Average graduation rate: 68%
- Institution with the biggest earners: Bryant University
3. Connecticut
- Average of each institution's median earnings: $64,720
- Average annual cost of school: $22,889
- Average graduation rate: 59%
- Institution with the biggest earners: The American Sentinel College of Nursing and Health Science
4. Maryland
- Average of each institution's median earnings: $60,286
- Average annual cost of school: $18,103
- Average graduation rate: 58%
- Institution with the biggest earners: Capitol Technology University
5. District of Columbia
- Average of each institution's median earnings: $59,364
- Average annual cost of school: $25,000
- Average graduation rate: 40%
- Institution with the biggest earners: N/a
“Education is extremely beneficial for economic success. Individuals with higher levels of education will have access to better job opportunities, higher salaries and greater job security," says Vineyard.
States with the lowest earning graduates
On the other hand, these are the states with the lowest earning graduates.
47. North Dakota
- Average of each institution's median earnings: $43,000
- Average annual cost of school: $12,867
- Average graduation rate: 40%
48. Kentucky
- Average of each institution's median earnings: $42,000
- Average annual cost of school: $15,811
- Average graduation rate: 47%
49. Arkansas
- Average of each institution's median earnings: $41,481
- Average annual cost of school: $14,143
- Average graduation rate: 43%
50. Mississippi
- Average of each institution's median earnings: $39,235
- Average annual cost of school: $13,750
- Average graduation rate: 45%
51. New Mexico
- Average of each institution's median earnings: $38,417
- Average annual cost of school: $14,833
- Average graduation rate: 46%
Bottom line
The Northeast has the highest earning graduates in the country, while the South and Midwest have the lowest, according to the data. Colleges in the Northeast also cost more, on average, and the cost of living is also higher in this area. While location isn't the be-all and end-all of how much money you'll make once receiving your degree, it is wise to pay attention to your state's post-graduation economic outcomes before committing to the financial burden of student loans.
Related Content
To continue reading this article
please register for free
This is different from signing in to your print subscription
Why am I seeing this? Find out more here
Erin pairs personal experience with research and is passionate about sharing personal finance advice with others. Previously, she was a freelancer focusing on the credit card side of finance, but has branched out since then to cover other aspects of personal finance. Erin is well-versed in traditional media with reporting, interviewing and research, as well as using graphic design and video and audio storytelling to share with her readers.
-
Five Tips for Choosing Your Insurance Agent or Broker
Selecting an insurance professional could be as important as picking a surgeon. It might not be literal life-or-death, but it could be financial life-or-death.
By Karl Susman, CPCU, LUTCF, CIC, CSFP, CFS, CPIA, AAI-M, PLCS Published
-
Planning a Summer Road Trip? Here's How to Cut Costs
Drivers expect to spend about $2 per mile on average, or about $1,000 on road trips this summer, according to an Experian survey.
By Kathryn Pomroy Published
-
Can Buy Now, Pay Later Plans Help You Build Credit?
"Buy now, pay later" is a popular way to buy everything — and some loans are starting to show up on credit reports.
By Ashlyn Brooks Published
-
Father's Day 2024: 20 Amazing Gifts
Father’s Day is June 16. This year choose a gift (or gifts) that he’ll love from Omaha Steaks, Best Buy, Lowe’s, Carhartt and more
By Kathryn Pomroy Published
-
Fed Holds Rates Steady, Sees Just One Cut This Year: What the Experts Are Saying
Federal Reserve The Federal Reserve kept interest rates unchanged and penciled in one quarter-point cut in 2024.
By Dan Burrows Published
-
May CPI Report Comes in Soft: What the Experts Are Saying About Inflation
CPI A slowdown in inflation keeps the Fed on track for rate cuts later this year.
By Dan Burrows Published
-
Costco Vacation Deals: Should You Buy One?
Thinking of trying a vacation package? Costco vacation deals, along with deals from BJ's and Sam's Club, are convenient and save you money. But what about the downsides?
By Daniel Bortz Published
-
Six Unique Airbnbs To Stay In: Treehouses, UFOs and More
Check out these six unique Airbnbs you can stay in for a truly unusual experience.
By Erin Bendig Published
-
Fans vs Air Conditioners: Which Is the Cheaper Way to Cool Off?
Fans are cheaper than air conditioners but significantly less effective when the temperature and humidity soar.
By Donna LeValley Published
-
How to Find the Perfect Cruise For You
In the wake of the pandemic, cruises are more popular than ever — and the choices are plentiful. Here's how to find your perfect cruise.
By Laura Petrecca Published