Though many Americans are struggling financially even years after the end of the recent recession, one group that may be having particular difficulties in gaining the kind of independence they may need these days.
Recent college graduates are often at a significant disadvantage when it comes to finding employment soon after they leave school, which in turn can make it far more difficult for them to achieve financial independence and even pay off the many obligations they may be carrying as a result of credit card bills, student loans and more, according to a report from the Federal Reserve Bank of New York. This may be especially true for college graduates who do not live in big cities, where it may be a little easier to come by at least some sort of gainful employment.
Today, some 62.1 percent of workers have jobs related to their college degrees, but just slightly more than one-quarter are actually in positions that relate to their college majors, the report said. However, a greater percentage of workers with either degree or major matches are finding them in larger urban areas, as opposed to smaller areas. For example, college graduates working in jobs that match their degree make up 64.5 percent in the largest urban areas, compared with just 61.1 percent of those working even in areas that fall into the 50th percentile.
This is true of those working jobs related to their majors, as 29.1 percent of workers are doing so in largest cities, as opposed to just 26.7 percent of those even average-sized urban areas, the report said. As a consequence, people living in the larger metro areas will be in a better position to cash in on their specific areas of expertise or training if they move to larger urban areas where more companies may be hiring.
[Student Loans: Research and compare options for student loans at Credit.com]
Today, the average college senior graduates with tens of thousands of dollars in debts not only on student loans, but also credit cards and auto loans. As such, these obligations can create significant difficulties for people trying to achieve the sort of financial independence they might want, and could also put them at risk for credit troubles if they can’t find pay high enough to help them cover all these ongoing obligations.