Most students can get a college degree for as little as $25,000, but if you want to work in the entertainment industry or run a restaurant, you’ll have to make a hefty income. It turns out that the people who make it on the “easy” end tend to make more with time. The more successful people get, the more they make, and the harder it is for them to make money.
A recent study by the Center for College Affordability and Productivity (CCAP) estimated that there are more middle-class people who make more if they don’t take in loans and take no or limited salary cutbacks.
The study examined income data from more than 13,000 people in 2013, looking at how much their income grew by. It found that people who earn their incomes in higher-income jobs can get much bigger raises to keep pace with inflation and stay competitive.
“The more fortunate get rewarded for their hard work by taking advantage of more generous labor markets, and so do those who don’t make much. For the less fortunate, by comparison, the ‘sticky’ nature of wage growth means that they’re stuck in lower-wage occupations or job categories,” the researchers wrote.
You know the routine: You work at an office job. You make minimum wage. You make more money when you take a salary cut. You take less. And after a few years, you’re out of a job.
The researchers found that almost half—44 percent—of those who made minimum wage in 2013 reported taking a salary cut from their starting salary. Thirty-four percent said it was because their employer cut back their schedule during the recession, and 34 percent said they would have taken a salary cut if it were up to them. Most of the cuts they took were not in pay but in shifts.
The most successful group—those with more money to put into their business—often took salary cuts by about 30 percent. For them, it was more than enough.
The findings are especially relevant in today’s economy, where fast-growth industries—technology, finance and media—are hiring new workers while the economy struggles with lackluster growth, and where companies are pushing to cut costs of the typical worker.
“As the economy struggles in part because businesses are cutting back, the winners of this dynamic are those who are able to get out of fast-growing fields and find work in other areas that provide more stable or predictable income than a
alberta government grants for home improvements, government grants for school, free government grants for seniors in florida, government grants for home improvement homeowners of america, government small business grants for veterans