As of May 2025, student loan debt totals nearly $1.8 trillion in the U.S. According to the Education Data Initiative, about 42.7 million adults across America have outstanding student loan debt, averaging about $42,150 per person. Those astronomical numbers have caused some to wonder if college is a sound investment.
Researchers from the Foundation for Research on Equal Opportunity say it is—in many cases, anyway. A May 2024 report found that higher education credentials, including bachelor's degrees, doctorates, and undergraduate certificates, generally offer a significant return on investment (the money spent on tuition and other expenses). However, the study also notes that the exact amount of return varies based on the degree and, notably, the institution.
To help future students make a more informed decision, the research team behind the studies ranked 4,500 colleges, determining the best financial options. To do this, the team used data collected by College Scorecard.
The study ranks schools by the net present value, a measure of the projected earnings of an investment against the anticipated costs, both in today's dollars and taking into account discounting interest rates, to determine whether an investment is worth making. Colleges were then ranked by the highest 40-year return on investment, with ties broken by the 10-year return.
Stacker looked at the public colleges with the best return on investment, highlighting information like graduation rates, net price, and median debt. This story only considers four-year, public colleges that predominantly grant bachelor's degrees.
Here's a breakdown of some key factors in the researchers' calculations.
- 40-year NPV: What the sum of all earnings 40 years after enrollment is worth today, adjusted for the school's education cost.
- Median earnings after 10 years: The typical annual salary 10 years after enrollment.
- Net price: The average price students pay per year after scholarships and financial aid, including books and living expenses.
- Graduation rate: The share of students who complete bachelor's degrees within six years.
- Median debt: The typical amount of student debt graduates from this school hold.
