One of the benefits of being in the research business is that sometimes you can take nuggets of information and apply them to your own life. So imagine my excitement when, after doing an analysis of young Millionaires, I could prove to my children that if they continued to pursue formal education, they were more likely to become a Millionaire at a younger age!
I have a 17 year old and a 19 year old. One is already in the midst of college....and doesn't want to discuss graduate school with me. The other, my son, wants to create the world's largest chain of jet ski rentals and doesn't see the need for a college education (not happening, dude!)
Our research shows that 20% of Millionaires between the ages of 25 and 34 have a MBA or law degree. 33% of Millionaires between the ages of 35-45 also have an advanced degree.
A lot of these individuals are doctors, thus proving that the medical degree helps out at the onset of a career. The number of multi-millionaires who are doctors or lawyers tends to taper off at the $15 million mark historically. Senior Corporate Executives and Business Owners generally represent the wealthiest households.
Now my son will argue that his jet ski enterprise will make him a wealthy Business Owner. My counter argument will be that 68% of Business Owners that have $25 million of assets have an advanced degree. In fact, 20% of Business Owners with over $1 million have an advanced degree. Overall 81% of Business Owners have a college degree.
We all read the data about the importance of education and how many are falling behind. The unemployment data shows that individuals without a college education are much more likely to be unemployed than those with a degree. Overall salaries are always lower it seems if an individual does not have a college degree.
While I jest with my kids and show them the data about how important a college degree is for their future......I hope they are able to someday understand how fortunate they are that this opportunity is easily available for them.
So use my data to encourage your kids. I wish we could find ways to effectively use this information to inspire others for whom the path may be more difficult.