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Not every college education holds the same value. But a new report released earlier this year shows that college degrees hold more value than just a high school diploma for Colorado’s residents.
The newly revamped Stronger Nation report ranks Colorado’s workforce among the top five with a high share of college-educated individuals who earn a typical wage 15% higher than those who hold just a high school diploma.
In the past, the report published by the Lumina Foundation tracked whether Americans have a college education, but not how that affected their earnings. The foundation focuses on opportunities for all Americans to get an education beyond high school. (Lumina is a funder of Chalkbeat. See our funders here, and read our ethics policy here.)
Now, the nonprofit foundation has new goals to understand whether a college degree, credential, or certificate delivers value to residents. The foundation aims to equip 75% of adults in the U.S. labor force with a college education that leads to economic prosperity.
“It is really important to attain a credential, but we want to make sure that it’s a credential of value,” said Courtney Brown, Lumina Foundation, vice president of impact and planning. “We want to make sure nobody’s wasting their time or their resources to get a credential that doesn’t provide labor market value.”
The new report uses U.S. Census Bureau data to tally how many residents have a degree and their reported earnings.
While Lumina has ranked Colorado the most-educated state, also evaluating the credential value has dropped the state behind Massachusetts, the District of Columbia, and Minnesota.
The report shows about 51% of the 2.7 million Coloradans actively participating in the labor force make at least $140 more per week than their peers with just a high school diploma. On average, the typical high school graduate nationally makes $930 a week, according to the Bureau of Labor Statistics.
The report confirms holding a higher-level degree, including short-term credentials and associate degrees, increases the likelihood residents will increase their earnings. About three-quarters of all residents who hold a bachelor’s degree earned 15% more than their peers with only a high school degree.
While the report doesn’t detail the other benefits of getting a college education, studies have shown college graduates also have better access to health care and are more likely to be civically engaged.
The Stronger Nation report also doesn’t detail which certificates, degrees, or credentials nationally hold the most value. Instead, Brown said the foundation hopes the report brings awareness about gaps specific to each state. The foundation wants officials to use local data to determine whether programs meet the needs of their communities and provide economic value to residents.
Colorado higher education officials have already started to take on this work. In 2023, the state reworked its higher education goals to focus on advancing the economic mobility of residents. The state has outlined strategies to do this, such as subsidizing the cost of higher education or detailing how certain education paths can lead to higher pay.
Brown said Colorado and other states’ leadership in showing how college can benefit residents has demonstrated to the foundation the importance of measuring a degree’s value, not just educational attainment.
“I would encourage Colorado to continue to be a leader and make sure that the state is providing these credentials of value,” Brown said.
Jason Gonzales is a reporter covering higher education and the Colorado legislature. Chalkbeat Colorado partners with Open Campus on higher education coverage. Contact Jason at jgonzales@chalkbeat.org.
