Would you like free tuition? Would you like to increase your income?

You likely answered yes. Let’s dig a little deeper.

What would you give up for this free tuition?

Lawmakers in Oregon are looking into something new, according to this Yahoo News article. They are thinking of offering free tuition for 3% in future income for the next 20 years. Krystal also wrote about this at Give Me Back My Five Bucks.

The article concludes with:

“It’s not a debt that you graduate with — your debt-to-credit ratio is not mucked up and you can participate in the economy, which is a novel thought.”

Interesting.

Would I trade future income for free tuition?

Yes.

It beats doing nothing. You should never let money stop you from earning an education. You shouldn’t let money get in the way.

With this plan, you could just focus on your studies and never have to stress about the money coming in. There’s nothing worse than always thinking about the money and wondering if it will come in.

Is this a good idea?

Yes.

Giving up a portion of future income beats owing $30,000 and feeling hopeless. Instead of feeling like the world is against you, you beging your working life feeling ahead. You graduated without any debt and you can take your time to find work. You don’t have to accept the first gig that comes your way. You’re not desperate. You can have options. This alone makes it worth it.

Plus, you don’t have to stress in that first year post-college. You can consider starting your own business and various other options.

You can also go back to school without stressing about spending money that you don’t have.

So essentially, it means more education for you.

When is this a bad idea?

There are instances where you would be getting ripped off with this. That is when you are good at applying for free money. Those with scholarships, bursaries, and grants don’t have to stress about this. Those folks can graduate with funding. However, not everyone is capable of that.

There are also those in programs that allow you to make money with work-terms. They don’t need this because the work terms take care of them and allow them to pay off school while in school.

Finally, it could entice some life-long students to come out of the woodwork. I have friends that have been in school forever as it is. Imagine it was free? They would be in school until 40. But I’m sure there’s some sort of provision against this.

What do you guys think about this plan? Would you be willing to give up a portion of your future income to earn that education right now?