California’s Public Universities Rank High for Graduate ROI

Los Angeles – A recent analysis by Georgetown University’s Center on Education and the Workforce reveals that California’s public universities, particularly the University of California (UC) and California State University (CSU) systems, offer some of the best returns on investment (ROI) for graduates in the nation. Graduates from these institutions are projected to earn approximately $247,000 after 10 years of enrollment, significantly outpacing their counterparts from public universities outside of California, who earn around $178,000 during the same period.

This analysis also indicates that within California, the 10-year ROI for graduates from public universities is notably higher than the median ROI for private colleges, which is reported to be about half as much. The findings are based on comprehensive data that considers attendance costs and post-college earnings, calculating median income a decade after graduation while including costs such as tuition, fees, and living expenses, as well as federal financial aid.

High Earnings and Financial Aid Impact

The data focuses on the experiences of students who began their college journey between 2010 and 2014. Notably, UC Berkeley graduates achieve a higher ROI than those from the University of Michigan, benefiting from one of the highest-wage labor markets in the country. The ROI calculations incorporate earnings data collected from the U.S. Department of Education, taking into account a broad range of students, including those who have availed themselves of federal financial aid, which approximately 55% of undergraduates across the nation do.

The financial landscape for attending private universities in California illustrates a stark contrast in costs, with those receiving federal aid facing average expenses of about $59,000 annually, compared to roughly $26,000 for students at UC and CSU institutions. UC Berkeley stands out, ranking eighth nationally in median earnings for graduates after ten years.

Top Performing Institutions in California

California’s elite institutions also lead in ROI, with the California Institute of Technology at the top with a staggering 10-year ROI of $627,000, followed by Stanford University at $509,000 and Harvey Mudd College at $476,000. More than two-thirds of California’s top 20 colleges for ROI consist of UC or CSU institutions, reinforcing the financial benefits of public universities in the state.

While elite private universities may offer high post-graduation earnings that can offset their higher tuition fees, public institutions generally provide a more favorable initial ROI due to lower costs. For instance, graduates from the University of San Francisco, a private institution, experience a lower ROI than those from public institutions like San Francisco State University just five years post-enrollment.

Value of Accessibility and Affordability

The rankings of colleges by ROI can vary each year according to diverse factors such as earning potential. In 2025, Washington Monthly named California State University, Los Angeles as the best college in the West for value, particularly for its accessibility and affordability for low-income students. Other institutions recognized for their affordability include Fresno State and Sacramento State, with median annual earnings for graduates of $50,337 and $54,997 respectively.

California’s public universities maintain an average tuition lower than the national average, currently around $8,640 for state residents enrolled in public institutions. The state invests over $21 billion each year to support higher education and financial aid programs, including tuition waivers and initiatives like the California College Promise Grant, which significantly mitigate students’ financial burdens.

Conclusion

The findings from the Georgetown University study underscore the value of California’s public universities in enhancing students’ economic mobility through education. With many institutions recognized for their affordability and positive ROI, these universities continue to play a vital role in shaping the future of many California residents.