Many college graduates are currently working jobs that do not require use of the four year degree they have invested tens, if not hundreds, of thousands of dollars in. Those same graduates often report that they feel lucky to have any job at all in today’s tough economy.
According to Kelli B. Grant of CNBC, “if the total owed at graduation is higher than your starting salary, that spells financial trouble.” Read the full article here. Unfortunately, this is the case for the average college graduate nowadays. According to The Wall Street Journal, “over 70% of this year’s [2014] bachelor’s degree recipients are leaving school with student loans.” Read the full article by Phil Izzo here.
Forbes Magazine Contributor Louis Efron paints the reality of today’s job market for college graduates with this proposal: “Imagine being served your poolside drinks by a lawyer, or getting your chicken sandwich delivered by an experienced marketing professional.” Read Efron’s full article here. This frightening epidemic is referred to as “underemployment.”
As described in detail in the aforementioned article by Efron, unemployment statistics are drastically skewed and do not truly illustrate the reality of the current job market partly because these statistics do not take underemployment levels into account. In a horrific job market and faced with the daunting task of finding their first full-time job, well-educated and highly skilled professionals are settling for jobs far below their pay grade. Efron asserts that underemployment harms more than just those college graduates because those who are underemployed, “don’t contribute their full potential to their households, the economy or society in general.” Even those holding degrees from graduate programs are currently experiencing difficulties locating entry-level employment opportunities and are being forced to work jobs that they are exceedingly over-qualified for.
Nowadays, it is arguable that the average starting salary in many work fields does not justify the cost of obtaining a four year degree. As a result of being underemployed, many graduates are unable to enjoy the value of their degrees. They are struggling to repay the massive student loan debt they incurred by financing their education; a decision that was made with the hopes that the higher education would lead to a better paying job. College graduates making only a few dollars more an hour than they would if they were working minimum wage jobs are simply unable to support themselves and keep up with their student loan payments. Many borrowers report that they are forced to move back home with their parents in order to afford to make their student loan payments.
Student Loan Law Group has several solutions to help distressed borrowers manage their student loan debt. Student Loan Law Group helps educate borrowers on how to alter their repayment plans based on their income and household size in order to create a more manageable monthly payment. Student Loan Law Group can also give borrowers a clear and easy to follow guide on how to consolidate multiple loans into a single loan with a singular monthly bill.
