College Pays?

This episode mixes studio banter with a surprisingly substantive look at education and investing trade-offs. Don and Tom walk through data on the lowest-paying college majors, highlighting that many bachelor’s degrees—especially in education and the arts—start and stay low in income unless paired with advanced study. They push back on the idea that college isn’t worth it, citing Federal Reserve data showing higher lifetime earnings, better job stability, and longer life expectancy for graduates, while emphasizing the real danger: taking on large debt for low-paying fields. Listener questions cover Roth conversions (worth considering carefully within tax brackets), why 529 plans still beat so-called “Trump accounts,” and the flaws in covered-call income ETFs like JEPI—ultimately reinforcing their core philosophy: ignore gimmicks, focus on total return, and keep investing simple.

0:04 Almost-live intro from “studio” (aka broom closet) and end of radio era

2:10 Lowest-paying college majors and why outcomes vary

3:23 Pharmacy (without grad school) and theology incomes

4:22 Social services, performing arts, and education pay realities

5:42 Liberal arts debate—value vs. earning potential

7:42 Biology, hospitality, psychology, and other $45K careers

9:22 Should you skip college? ROI vs. cost and debt

10:44 Federal Reserve data on college ROI and lifetime earnings

11:48 Job stability, longevity, and socioeconomic effects of degrees

12:42 Mid-career earnings—education still lags badly

14:32 The real issue: debt vs. income mismatch

16:45 Roth conversion question—when it might (and might not) make sense

19:21 529 plans vs. “Trump accounts” for kids’ savings

20:59 Covered call ETFs (JEPI, etc.) and income strategy pitfalls

22:06 Why income-focused funds don’t reduce risk

23:07 Expense drag and hidden costs in “income” ETFs

24:14 Gimmick investing vs. simple total return strategy

25:43 Bellevue weather, Lyft misadventure, and wrap-up