Is college still worth it? Survey says yes, but ...

Teenagers aren’t turning their backs on college — but they are rethinking what “college” actually means.

And they’re doing it at a moment when the value of higher education itself is under fresh scrutiny.

Earlier this month, a committee at Yale University warned that colleges and universities share responsibility for a growing erosion of public trust, citing high costs, murky admission practices, uneven academic standards and concerns about free speech on campus.

That unease is increasingly filtering down to the next generation of students now weighing what they plan to do after high school.

A new national survey from the College Savings Foundation in Washington suggests that many high school students are responding not by abandoning higher education — but by broadening their definition of it.

Nearly three-quarters of high school students — 74% — say they now view career and technical schools, certificate and apprenticeship programs on roughly the same level as a traditional college degree.

“They are giving those options — at least in the thought process — equal weight,” said Chris McGee, chair of CSF.

“The majority are still saying I’m going to go to a four-year or two-year college program,” he said. “But more and more are wondering if they should look into something like an apprenticeship or certification program as well.”

More students plan to work, even full time

That shift in mindset doesn’t mean the four-year degree is fading — far from it.

When it comes time to choose, students still lean heavily toward the traditional path.

The foundation’s 17th annual survey of 1,000 high school sophomores, juniors and seniors found 42% plan to attend a public college, while about 1 in 5 expect to enroll in a private college.

“Private college is the most expensive option typically,” Mr. McGee said. “And that’s the highest we’ve seen in five years.”

Another 16% say they are headed to community college.

Smaller shares are pursing alternative education routes: 8% plan to attend career and technical schools; 4% expect to pursue workforce training and credentialing; and 2% say they are entering apprenticeships.

In short, students are keeping their options open, and also bracing for the financial reality that comes with paying for higher education.

An overwhelming 86% say they plan to work while enrolled in higher education, including 33% who expect to work full time while in school.

When asked to imagine their ideal educational experience, today’s students didn’t describe lecture halls or campus life — they’re fixated on outcomes, with 68% saying they would prefer coursework focused on career and technical training.

An even larger share — 89% — want credit for real-world work experience as part of their education.

“Right off the bat, they’re focused on how is this education — whatever I choose — going to get me a job afterwards?” Mr. McGee said.

‘Everybody’s talking about the high cost’

Student debt, which has reached $1.83 trillion, continues to be a worry for high school students, as 68% plan to borrow for higher education and two-thirds are concerned about paying back their loans.

That may be one reason career and technical schools are looking more attractive.

Following legislation passed last year that allows funds from 529 college savings plans to pay for those education paths, more young people can fast-track into good paying jobs as health care technicians and aircraft mechanics, plumbers and HVAC specialists.

“Everybody’s talking about the high cost of college — the traditional four-year and two-year route,” Mr. McGee said. “But there’s also some substantial costs associated with getting that welding certificate or the other certificates that are out there.”

529 college plans have the advantage of allowing money to grow tax-deferred and can be withdrawn tax-free for qualified higher education expenses.

Pennsylvania is one of 30 states that offers a state income tax deduction — for up to $30,000 in contributions per beneficiary — or tax credit for 529 contributions and gifts. The state also allows the contribution to be to any state 529 plan, not just Pennsylvania’s.

The College Savings Foundation (CSF) is a leading advocate for 529 plans. The nonprofit trade group represents 529 plan program managers, state sponsors and financial services firms across the nation who manage 529 plans.

“We’re delighted that the kids out there are more aware of 529s,” Mr. McGee said.

Thinking early about how to pay for a degree

A committee of 10 professors at Yale recently issued a sharp rebuke of higher education, saying the system itself is fueling public distrust.

The committee took aim at the way many colleges price their product — posting steep tuition rates, then discounting them through layers of financial aid.

Even if students pay far less than the sticker price, the professors felt the model has had a disastrous impact on public trust, describing it as “complicated, unpredictable, secretive and highly variable.”

For high school students coming up behind that system, the best strategy seems is to be taking more control.

Teens report saving at higher levels, making plans to earn more while enrolled and thinking early about how they’ll pay for it.

Still, 78% say they wish they had started planning and paying for higher education sooner.

“My favorite survey response is that 76% of these kids would rather receive money for education than material gifts on birthdays and holidays,” Mr. McGee said.

“That to me is so much more mature and so much more disciplined than I ever was at that age.”