According to a recent study by the Lumina Foundation and Gallup, university dropout rates are at an all-time high. The study surveyed over 14,000 students and found two main reasons students drop out: money problems and academic pressure. College degrees offer career advantages, but the emphasis on achievement can be stressful. This stress is a major contributor to students leaving their studies. Statistics show that 32.9% of undergraduates don’t complete their degrees. To improve graduation rates, universities must address these challenges to improve conversion rates.
Based on this study and our research, we have determined the top reasons behind college students dropping out.
Financial Constraints
In the above study by Lumina Foundation and Gallup, 87% of the surveyed students believe that the high cost of college is a major reason for students to drop out. College drop-out rates are climbing high because of financial strain. Many students from loan-dependent families are grappling with rising costs. Tuition, rent, and interest rates have been a cause for concern. This economic pressure forces them to abandon their studies despite their potential career path.
Some students want to be entrepreneurs
Rising entrepreneurial aspirations are fueling student dropout. Inspired by successful college dropouts like Mark Zuckerberg and Bill Gates, 28% of students leaving college aim to launch their businesses. Additionally, 28% of students plan to enter the workforce full-time, leading to work conflicts during college. The others seek alternative education paths like coding boot camps or trade schools. These motivations highlight the diverse reasons behind student dropout.
Emotional Stress
College can be tough. Juggling classes, tests, or maybe a job can be super stressful. This pressure can make you feel overwhelmed and anxious. A study by the Lumina Foundation and Gallup found that 74% of students attribute emotional stress as the reason for leaving school.
Getting a Degree or Certificate Takes Too Long
College can feel never-ending, which is a big reason why many students decide to leave. Getting a degree takes years because of all the classes you need to take. Some of which might not seem related to future job. Plus, life can get in the way— maybe one need to work extra hours or switch what one want to study. All this extra time and juggling can make college feel overwhelming, leading students to drop out before they can finish.
Easy to find a job
College is supposed to be a ticket to better-paying jobs and financial security. However, certain economic factors cause students to jump directly into the labor pool. The job market is booming right now, with employers adding nearly 400,000 jobs. The wages are also up by 5%, according to the Department of Labor. On the other hand, college costs are rising due to increasing tuition and interest rates on student loans.
Lack of Remote Options
Many colleges in America still do not offer remote learning options. Most college students want the option because they want to continue learning even if they are ill or find it inconvenient to travel to college for in-person sessions. Besides, many students also want the choice to go remote whenever they want, which strictly in-person classes do not offer.
Mental Health Issues
Mental health being a growing concern, about 14% of students said they have dropped out of college due to mental health issues. This intense academic pressure along with financial problems creates a mental burden on students. Studies show a high prevalence of conditions like anxiety and depression among college students. This impacts their studies, sleep, and well-being. In some cases, these challenges become too complicated. It leads to students prioritizing their mental health over school.
No Value in Further Education
College enrollment is at an all-time low. There has been an 8% drop in undergraduates from 2019 to 2022, even after in-person classes returned. This is the steepest decline ever recorded. Many young adults are questioning the value of a degree due to high tuition and future debt. They instead opt for hourly jobs or careers that do not require a college degree. This trend could worsen labor shortages in crucial fields like healthcare and technology.
Unprepared for Academic Demands
The transition from high school to college can be a steep climb, especially for students who struggle with complex topics or can’t keep up with the fast-paced coursework. A recent test found that over 40% of new students did not meet the ACT’s college-readiness benchmark in any subject. This lack of preparedness leads to feeling overwhelmed and frustrated and ultimately, to a risk of dropping out.
Family Problems
Family struggles can significantly push students to abandon their college dreams. Family emergencies like the serious illness of a loved one or ongoing family conflict disrupt the home. These events create emotional turmoil and make it difficult to focus on academics. Students facing these challenges might struggle to manage their studies. Also, the financial burden of helping their families can force some students to take on extra work hours. This reduces the time available for coursework and jeopardizes their academic standing.
School Curriculum Not Helpful Enough 
Many college dropouts believe that not only does school not help you in the real world, but the curriculum also does not prepare you for further studies. The curriculum at school mostly focuses only on academic work and school subjects and does not teach how to build a career. The topics covered in school also rarely align with collaborative problem-solving, which is often required in colleges.
Changed Interests
Some college students started to get excited about their majors. But over time, their interests change. Maybe they take a class in a different subject and discover a new passion. They could have a summer job or internship that sparks a different career dream. They may be stuck on a path they don’t love anymore. Without clear guidance, these students might drop out of college altogether.