Future earnings for certificates and some associate degree programs are closely linked to the field of study, reports Georgetown University Center on Education and the Workforce researchers in their latest study, “The Overlooked Value of Certificates and Associate’s Degrees: What Students Need to Know Before They Go to College.”
Researchers first examined national postsecondary enrollment data to determine the prevalence of certificates and associate degrees within the U.S. higher education system. They found that 50% of postsecondary students are enrolled in certificate and associate degree programs, 47% are enrolled in bachelor degree programs, and 3% are taking coursework but are not enrolled in a certificate or degree program. Similarly, colleges award approximately the same number of associate degrees and certificates combined as bachelor’s degrees – in 2016, there were 1,948,500 certificates and associate’s degrees and 1,920,800 bachelor’s degrees awarded. Of the certificates and associate degrees, most are strongly linked to careers. About 94% of certificates and 57% of associate degrees are awarded in career-oriented fields.
The strong linkage to careers makes employment outcomes from certificates and associate degrees critical measures of success. Researchers found that earnings from associate degrees and certificates are extremely dependent on the field of study, and there was wide variation depending on career area. In addition, in line with previous research, this study showed that future earnings for some of these fields of study are more lucrative than for those requiring a bachelor’s degree. For example, workers with an associate degree in engineering have median earnings between $50,000 and $60,000 per year, which is significantly more than those with associate degrees in education and the arts whose median earnings are between $20,000 and $30,000 per year. Workers with certificate degrees in engineering technologies have median earnings between $75,000 and $150,000, which is significantly more than the median earnings of those with certificates in cosmetology and education (between $10,000 and $20,000), or even healthcare (between $20,000 and $30,000). Similar trends were evident in analysis of state data. “What you make depends on what you take, particularly for workers with certificates and associate’s degrees,” was a key conclusion of the report.
Finally, researchers examined the population of students who enroll in certificate and associate degree programs. Students in these programs were more diverse by socioeconomic status, race and ethnicity, and age than students in bachelor’s degree programs. Specifically, Black and Latino students were disproportionately enrolled in certificate and associate degree programs compared to bachelor’s degree programs. The reverse was true for White students, as 47% were enrolled in certificate and associate degree programs and 53% in bachelor’s degree programs, and White students earn a disproportionate share of bachelor’s degrees. Low income and independent students were also more likely to enroll in certificate and associate degree programs than bachelor’s degree programs. These trends reinforce current equity gaps in educational attainment and potential labor market outcomes.
To help address the gaps and ensure that all students can achieve success, the researchers stress the importance of educators and policymakers strengthening all pathways to and through college, providing students with more information about potential pathways and their economic returns, expanding federal data collection and strengthening accountability.