Late to the party, but I think the issue with this mentality is that it overemphasized the value of certification and formal training. An mba(the most valuable thing he mentioned) still has a very iffy value proposition unless you go to an elite MBA. Even if you do, you might hate being a banker/consultant, and that "human capital" becomes a liability (see student loans) that makes you hate your life.
He said graduate degrees were last on his list and that he encouraged ppl to start with “low stakes” investments first such as toast masters, or inexpensive tech programs. I think the main takeaway for me was every situation is different - you know what may benefit you in your own specific situation. For example, my friend works in education and gets a raise commensurate with how many college credits she has. So generally, although going back to school may not translate to guaranteed increased income, in her case, she gets a certain amount of pay increase with every additional college credit she earns, so for her returning to school is clearly worth it. So bottom line is it’s case by case; there may very well be some people for whom the MBA (or insert any other investment/certification) would result in a relatively guaranteed positive pay increase, depending on the industry or even the niche they’re in.
Human capital …..a liability ? 😮how do you evaluate ….obsessed on how to save “ a minute “ a day ? ( 4 hours a year ) the cumulative figure shows the real value of your time and effort …. Did I spend too much money 💰 on saving a minute or two …it adds up ..? 😮
Kitces is such a genuine humanist. Logical but very real. Thank you.
This deserves WAAAY more views, excellent show!
I like your rational & take-aways, Paula!
Late to the party, but I think the issue with this mentality is that it overemphasized the value of certification and formal training. An mba(the most valuable thing he mentioned) still has a very iffy value proposition unless you go to an elite MBA. Even if you do, you might hate being a banker/consultant, and that "human capital" becomes a liability (see student loans) that makes you hate your life.
He said graduate degrees were last on his list and that he encouraged ppl to start with “low stakes” investments first such as toast masters, or inexpensive tech programs. I think the main takeaway for me was every situation is different - you know what may benefit you in your own specific situation.
For example, my friend works in education and gets a raise commensurate with how many college credits she has. So generally, although going back to school may not translate to guaranteed increased income, in her case, she gets a certain amount of pay increase with every additional college credit she earns, so for her returning to school is clearly worth it.
So bottom line is it’s case by case; there may very well be some people for whom the MBA (or insert any other investment/certification) would result in a relatively guaranteed positive pay increase, depending on the industry or even the niche they’re in.
Human capital …..a liability ? 😮how do you evaluate ….obsessed on how to save “ a minute “ a day ? ( 4 hours a year ) the cumulative figure shows the real value of your time and effort ….
Did I spend too much money 💰 on saving a minute or two …it adds up ..? 😮