One common conundrum of fresh graduates is whether they should further their studies right away, or jump into working life. There isn’t a single right answer, due to all the variables involved; but there is a less stressful way to proceed. In the following, we’ll look at some of the key considerations to work out, and help come up with a more practical answer:
What are the main factors to consider?
There are five main factors, when deciding between further studies or work:
● Academic requirements of your desired career
● Your financial situation in the near to mid-term
● Availability of scholarships and bonds
● Connections and networking
● Passion versus making money
For some careers, there’s no question that you must study and get qualifications first. No one is going to hire a dentist with no medical degree!
But for other careers, you should look at how high you want to go, and what qualifications are needed. In finance, for example, you’ll almost certainly need a degree or masters if you want to manage large funds for a financial institution; even if these are not needed in entry level positions.
For other careers, you may notice that specialisation tends to require more than one qualification. For example, journalists often have degrees in both journalism (e.g., mass communication), as well as a diploma or degree in the field they report in (e.g., political science, finance, Information Technology).
If you’re aiming that high, it’s generally advisable to get the qualifications before diving in. The reason is that, once you’re in the workforce and climbing the corporate ladder, you may not be afforded the time off to study. For example, if you’re already working in a bank as their counter staff, your boss may not be okay with you taking a whole month off to study for your exams.
It’s a fact of life that some positions will demand higher qualifications; so research these, and seriously consider obtaining them before you dive into the workforce.
Besides, coming in with those qualifications will make it clear to your superiors that you intend to go higher.
If you’re beset by money issues, you probably won’t be a good student anyway. When you only have $2 in your pocket, and skip lunch every other day, it’s unlikely that you’ll be inspired and motivated to do well (It’s possible if you’re very driven, but improbable).
As such, you need to consider what your finances will be like in the near to mid-term; that is, around three to four years for most degree courses. If you cannot sustain yourself financially to the end of the course, it makes sense to start working and save up first.
It is less painful to spend a year working and saving up, than to struggle through three to four years with no emergency fund, knowing you can’t afford to fail even a single paper. It can be especially depressing to know that, even when you graduate, what awaits you is several years of desperate student loan repayments.
Whether you have enough savings is a complex issue, depending on whether you already have dependents, financial support from your family, how much your education costs, etc. We suggest you speak to a qualified financial professional for help, as there’s no single answer that’s right for everybody. You can also contact us, if you want an assessment and solution for your financial situation.
Sometimes, going to work is going to school. Some companies believe in building up their talent pool of employees – they may provide scholarships for their workers, and even design work schedules to accommodate further studies.
Before you decide between working and studying, you should always look out for these possible options. They tend to be more prevalent in the civil sector than private sector, however; and do be aware of the strings attached (you may be required to work for a given length of time, if you accept the scholarship).
Another alternative is to accept a bond; the employer will pay for your education first, but you must work for them for a given period later. This can kill two birds with the same proverbial stone: you’ll have funding your education, and you know you won’t waste time looking for a job later.
The downside is that, because it’s a legal contract, you must be absolutely sure you’re happy to work for the employer later – possibly for periods as long as five or six years.
The financial consequences of breaking your bond can be dire, and it’s almost never worth doing.
Some jobs require you to build, or already possess, a network of contacts. This is most common in jobs that have a sales or client management component; such as being a relationship manager, events promoter, or financial advisor (while this is not true 100 per cent of the time, a large network is a major advantage in most such roles).
Do bear in mind that, when you’re studying, you’re also building connections. Everyone from lecturers to fellow students, to job placements and internships, are helping you to build more contacts. If you actively make use of these, then your studies are more valuable than just a paper qualification: they also give you the range of connections you’ll need to find early success. This can make it advantageous to study, before diving into the workforce.
That being said, do know your own inclinations. If you know you’re the sort to keep to yourself when studying, and skirt most social activities, then this advantage may not manifest for you.
That being said, do know your own inclinations. If you know you’re the sort to keep to yourself when studying, and skirt most social activities, then this advantage may not manifest for you.
Another way to think of this is “ultra long term” versus immediate financial gain.
Many of the great discoveries in academia were not tied to jobs or money. No employer was asking for someone to compute limits of proof and computation, when Alan Turing decided to work on it in University; nor was Richard Feynman being offered millions to work on quantum mechanics.
Academia allows you to pursue passions that engage your attention, even if there’s no current market demand. The payoff is that, in the ultra long term, there may be whole new industries, or human revolutions, born from more abstract concepts.
If this is what interests you, then it may be best to go to further your education in them while you still can. Again, remember that you may not have as much leeway to pursue these interests, once you’re caught up in weekly budget meetings and monthly status reports.
There is a real risk that, once you join the working world, you may not come back to these passions until decades later. In some cases, people have found time to pursue such academic passions only after retirement.
If you have no such pressing passion, however, then maybe jump into the workforce sooner. You may as well use the time to get yourself a head start.
If you still can’t make up your mind, or you want a solution that balances the two, then you should consider a flexible job – one that can provide sufficient income, and also a bit more free time. We may be able to help you with this at Exodus Capital, where we provide guidance and mentorship for those entering the finance industry. Contact us today to find out more.
