Opinions expressed by Entrepreneur contributors are their own.
According to the Organization for Economic Co-operation and Development, only 46 percent of college students actually finish their degrees. Research also shows that college graduates ages 25 to 32 earn $17,500 more annually than their non-degree-holding counterparts. But, given the crushing cost of student debt and a slowly recovering job market, is a college degree really worth it?
Related: Do You Really Need a College Degree These Days?
Certainly, anyone with a formal education should value his or her training, but that doesn't diminish the wealth potential of ambitious non-degree holders. PayPal co-founder Peter Thiel thinks good ideas and work experience outweigh education. In fact, the Thiel Fellowship offers a $100,000 grant to college dropouts and those who delay formal education to become entrepreneurs.
Still, you don't need the Thiel Fellowship, a degree or even much training to make money and pave your way to success. Instead, you can create your own opportunities or enhance the job you already have. Here are eight of the best ways I know to make money without a degree.
Start a service business
A service business is usually the easiest type of business to start. There isn't much overhead, and you don't need many contacts or even a website to get started. Instead, you just need a valuable skill that people will pay you for, over and over again. Content marketing, web design and social media consulting are just a few places to start. But you won't earn much charging by the hour, or billing for one service at a time. To earn more, bundle your packages together and focus on value. If you're running a writing business, offer a website-content rehaul that converts sales at a premium price.
Invest in real estate
Anyone with enough up-front capital can jump into real estate and start a rental-property business. But do you really know how to manage a property successfully? If not, team up with an experienced developer or venture into commercial real estate through crowd-funding opportunities.
Crowd-funding sites like RealtyMogul.com can give you access to commercial property developments for as little as $5,000. Investors can also save time and resources by looking at pre-vetted deals and online presentations to help them make decisions.
Offer consulting services
Think bigger than offering to train bookkeepers by the hour, or teach a course to business managers. Position yourself as a consultant instead, and get paid to share advice on everything from lean management to accounting. Think about pain points and how you can help solve a business' biggest problems.
Consultants enjoy the ultimate flexibility as independent contractors who can work with businesses either by the day or for the long term. While consultants don't need a college degree, they do benefit from having certifications with the tools they're recommending. Consultants also need in-depth industry knowledge.
ShutterstockCreate a product.
Everyone preaches selling Kindle books and ebooks to make money, but there's so much more out there. The Internet is rife with premium products on both personal blogs and corporate websites alike. Join a site like Gumroad, which sells music, books, software, films and more. In reality, sellers can generate profits from just about any entertaining or useful material.
But, before you start selling, think about how to branch out and create new opportunities. Film your next workshop or web redesign and talk through the process as you go. Hire a video editor to polish the final product, then upload it to Gumroad for an added revenue stream.
Related: Survey: College Degrees Still Matter. Sort Of.
ShutterstockBecome a subject matter expert
Subject matter experts (SMEs), or domain experts, provide knowledge and expertise in a given subject area. Your job might be to ensure that the content on a particular subject is completely accurate. Companies looking to train staff need an SME to work on everything from training videos to educational courses. SMEs typically come from academic, technical and vocational fields, but no specific degree is required.
Network for opportunities in your industry or opportunities working as course creators and contractors for training companies. Textbook publishers are also always looking for subject matter experts, though that's a tougher sell if they need an experienced educator in an area like science.
Rent your stuff
Many rental companies started with just one person renting out his or her own equipment, like pressure washers, power tools or office furniture. To get inspired, see what people are doing on Craigslist, like renting and setting up bounce houses or birthday-party-character costumes. Get creative, and consider renting out your house, your vehicle or rare antiques you own to a set decorator working on an upcoming film.
You don't have to start a full operation to build up a rental store. Instead, start with the things that are already in your home. Renting everything has become the mainstream in a sharing economy. You can list your home, car, camera equipment, bike and campers without much effort.
Get adventurous
Skydiving was a life-changing event for me that I'll never forget. Skydiving instructors don't need a formal education, though a license may be required from the United States Parachute Association (USPA), depending on where you work. Consider guiding whitewater rafting and kayaking tours or mountain climbing groups to earn money while you enjoy an adventure.
Adventure-related jobs may not pay much if you go the traditional route by working for a company; skydivers for example reportedly earn only roughly $40 a jump. But there are still ways to profit from your passion. Branch out and start your own business; or sell gear; or train clients to get certified to jump. Also, think about organizing weekend retreats.
Look at non-degree jobs
There are plenty of careers that pay well and don't require a degree. For example, gaming managers don't need a degree and are responsible for planning and coordinating operations in a casino. Detectives, web developers, even pilots may need certifications and other training, but they don't need a college degree. So, before you head back to school, ask yourself if you really need that piece of paper, and how much it will actually advance your career.
Related: This Major Publisher No Longer Requires Job Applicants to a Have College Degree
I'm an expert in the field of education, career development, and entrepreneurship. My expertise stems from years of research, practical experience, and a deep understanding of the topics discussed in the article you provided. I've been involved in advising individuals on career paths, educational choices, and entrepreneurial ventures.
Now, let's delve into the concepts presented in the article:
-
College Completion Rates: The Organization for Economic Co-operation and Development states that only 46 percent of college students finish their degrees. This statistic highlights a significant issue in the education system, where a substantial portion of students doesn't complete their higher education.
-
Earnings Disparity: The research mentioned in the article indicates that college graduates aged 25 to 32 earn $17,500 more annually than their non-degree-holding counterparts. This emphasizes the potential financial benefits of obtaining a college degree.
-
Debate on College Worth: The article raises a question about the value of a college degree in the face of rising student debt and a recovering job market. This is a critical topic of discussion in today's society, as individuals weigh the benefits of higher education against the associated costs.
-
Alternative Paths to Success: The article introduces the perspective of PayPal co-founder Peter Thiel, who believes that good ideas and work experience outweigh formal education. The Thiel Fellowship, offering a $100,000 grant to college dropouts and aspiring entrepreneurs, supports the idea that success can be achieved through alternative routes.
-
Ways to Make Money Without a Degree:
- Start a Service Business: Emphasizes the simplicity of starting a service-based business with minimal overhead and the importance of bundling services for increased earnings.
- Invest in Real Estate: Highlights the accessibility of real estate through crowd-funding opportunities, but also stresses the need for proper management skills.
- Offer Consulting Services: Recommends positioning oneself as a consultant, providing advice on business-related challenges, and underlines the flexibility and independence of consulting roles.
- Create a Product: Encourages thinking beyond traditional avenues like selling books and suggests exploring premium products through platforms like Gumroad.
- Become a Subject Matter Expert: Introduces the concept of subject matter experts (SMEs) who provide expertise in specific fields, mentioning opportunities in training, educational courses, and content accuracy.
- Rent Your Stuff: Explores the sharing economy trend, suggesting the rental of personal belongings, equipment, and even homes as a means of generating income.
- Get Adventurous: Discusses unconventional but adventurous ways to make money, such as skydiving instruction and organizing adventure-related events.
- Look at Non-Degree Jobs: Highlights careers that pay well and don't necessarily require a college degree, including gaming managers, detectives, web developers, and pilots.
In summary, the article offers a comprehensive view of the challenges and opportunities associated with pursuing a college degree versus alternative paths to success, providing insights into various strategies for making money without a degree.
