College ROI

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Babson College

Wellesley, MA 2,728 Undergrads 92.4% Grad Rate
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Total Cost
$82,076
Sticker Price
Avg Net Price
$34,096
After Aid
Median Earnings
$121,874
5yr Post-Grad

Vs. Peer Institutions

Net Price$34,096
Peer Midpoint: $19,969
Earnings (5yr Post-Grad)Completers only after graduation
$121,874
Peer Midpoint: $61,632
Earnings (10yr Post-Enroll)All enrolled after enrollment
$138,950
Peer Midpoint: $58,891
Graduation Rate92.4%
Peer Midpoint: 58.9%
Average starting age (2015-17)19.4
Socio-Economic Diversity
Pell Grant Recipients17.5%
Enrollment Status
Full-Time99.3%
Economic Outcomes
Earn More than HS91.7%

Admissions Profile

Acceptance
17.1%
SAT Avg
1,457
SAT Reading
25th: 67070075th: 740
SAT Math
25th: 72076075th: 790
ACT Composite
25th: 313275th: 34

ROI Sensitivity Analysis
Assuming 4 Years to Graduation

This analysis tests three cost scenarios (Scholarship, Average Net Price, Full Sticker Price) to show how college costs impact your long-term return compared to the average student and a high school graduate.

Lifetime Value Added (NPV)

Institution Lifetime NPV
Vs Median Peer
Vs HS Grad
Zero Cost (Scholarship)$0
+$995k
+$525k
+$509k
Median Cost$34k/yr
+$872k
+$402k
+$386k
Full Cost$82k/yr
+$700k
+$229k
+$213k

ROI Efficiency Metrics

Break-Even Age
Return on Inv. %
Zero Cost (Scholarship)$0
24
∞
Median Cost$34k/yr
29
314%
Full Cost$82k/yr
37
72%
Analysis Assumptions:
  • Starting Salary: Estimated from the median earnings five years after graduating, with four years of 2% raises taken out.
  • Comparisons: "Vs Median Peer" compares to the median student nationwide in a similar level program. "Vs HS Grad" compares to a median high school graduate.
  • Break-Even: The age at which the college investment net income exceeds the median high school graduate's lifetime earnings.
  • NPV: Net Present Value of all future earnings minus costs and taxes, discounted at 7.8%.

Social Impact ROINew

Measures the societal return on a donor's investment. Calculated as the incremental pre-tax lifetime earnings vs. HS grad, divided by the tax-adjusted donation cost.

Donor Return225%

Gov. Pell Grant ROINew

Measures the government's return on Pell Grants via increased tax revenue. Calculated as the portion of incremental lifetime taxes (discounted at 5.4%) attributed to the Pell Grant investment.

Taxpayer Return1%

Program ROI Analysis

These figures are medians for past graduates who received federal aid. Your cost and pay will differ. Run your own numbers in the Guided ROI Interview →

Bachelor's Degrees

Median Debt
$18,000
Earnings (4yr)
$107,520
Natl Median: $68,257
Lifetime Value Added
+$295k

Master's Degrees

Applied Mathematics
MastCIP: 2703
Median Debt
-
Earnings (4yr)
-
Natl Median: $116,060
Lifetime Value Added
N/A
Median Debt
$50,841
Earnings (4yr)
$178,909
Natl Median: $103,485
Lifetime Value Added
+$861k
Median Debt
-
Earnings (4yr)
-
Natl Median: $124,807
Lifetime Value Added
N/A

Note: Lifetime Value Added is the Net Present Value (NPV) of estimated career earnings relative to a median high school graduate (for undergraduate programs) or a median bachelor's degree holder (for graduate programs), accounting for this institution's average cost and taxes. Computed over a career to retirement age.

For graduate programs (Master's, Doctoral, etc.), the calculation assumes a starting age of 22 (after undergraduate completion) and does not include the sunk costs of prior degrees. It represents the value added of the graduate decision moving forward. Note that the institution's average undergraduate net price is used as a proxy for annual cost, which may differ from actual graduate tuition. These Lifetime Value Added results for graduate degrees should not be compared with those for Undergraduate Certificates, Associates or Bachelors.

Completers Only: Federal median earnings data strictly reflects outcomes for students who successfully graduated. Students who do not complete their degree typically earn significantly less and face higher risks of debt default.