Study shows big financial impact on Indiana and Michiana due to Ivy Tech
An in-depth study conducted by Emsi reveals the economic impact of Ivy Tech Community College on the state of Indiana, including the local impact in Michiana.
The report describes the return on investment that the Community College makes in its key stakeholder groups – students, taxpayers and the communities it serves.
The results of the analysis reflect a cumulative annual impact of $ 3.9 billion. In Michiana, the college has over 2,000 jobs. And he says Ivy Tech alumni have a big impact on the state because of the higher incomes and increased productivity of the companies that employ them. The study shows that in fiscal year 2018-19, Ivy Tech alum generated $ 105.9 million in additional revenue for the local economy.
You can read more of the study with this story below:
An in-depth study, conducted by Emsi, reveals the significant positive economic impact of Ivy Tech Community College on the state of Indiana, including the local impact in Michiana. The report describes the return on investment that the Community College makes in its key stakeholder groups – students, taxpayers and the communities it serves. The results of the analysis reflect a cumulative annual impact of $ 3.9 billion.
The 2020 Ivy Tech Community College Economic Impact Report, based on fiscal year 2018-2019, includes the following key findings for our region:
- Ivy Tech’s impact supported the equivalent of 2,093 jobs in 2018-2019.
- Alumni have the greatest impact on the state due to the higher incomes and increased productivity of the companies that employ them. In the 2018-19 fiscal year, Ivy Tech alumni generated $ 105.9 million in additional revenue for the county’s economy.
- Ivy Tech employs 475 full-time and part-time faculty and staff with total operating expenses of $ 24.3 million contributing to the local economy.
- The spending of successful students in the 2018-2019 fiscal year also added $ 2.6 million in revenue to the local economy.
“Our Ivy Tech Campus is proud to be THE community college and a trusted education partner for community organizations, industries and businesses in the South Bend-Elkhart area. It is exciting and rewarding to watch our students acquire the skills, knowledge and workplace learning experiences that position them for future academic success and / or impactful careers in a wide variety of disciplines essential for growth. counties of St. Joseph, Elkhart and Marshall. said Dr David Balkin, Chancellor of Ivy Tech South Bend-Elkhart. “We are honored to work with local employers engaged in a wide range of industries including nursing, health sciences, hospitality, business, IT, advanced manufacturing and applied sciences. ”
“The impact of Ivy Tech goes far beyond the benefits students get from their education,” said Sue Ellspermann, President of Ivy Tech. “When college students enter the workforce, they bring with them valuable skills learned during their studies, which translates into increased productivity for their employers. It has a lasting impact on our state and the dozens of communities where our students live and work. ”
For more details on the statewide impact, visit www.ivytech.edu/impact.
Individual student impact increases with investment
In addition to identifying the economic impact of the institution, the study also analyzed the value of the investment that students make in themselves by choosing an Ivy Tech education, and the value that the community invests in them. students through public funds that the institution receives from taxpayers.
The study found that students invested $ 502.8 million in time and money, which will generate a cumulative return of $ 2.2 billion in higher future income over the course of their professional careers. The average 2018-2019 Ivy Tech associate degree graduate will see $ 10,100 more annual earnings than someone with a high school diploma or equivalent working in Indiana .
“In today’s job market, a post-secondary degree is more important than ever,” said Ellspermann. “Ivy Tech offers a cost effective way to acquire knowledge and skills that lead to new careers and higher incomes. “
In fact, students will see an average annual return on investment of 18.3%, which is significantly higher than the 30-year average rate of return for the US stock market of just under 10% or the Treasury’s rate of return. American over 30 years at 1.91%. .
Taxpayers also benefit from investing in students. For every dollar of public money invested in Ivy Tech, taxpayers will receive a cumulative value of $ 1.90 over the working life of students. This equates to a net present value of $ 287.2 million after accounting for costs to taxpayers and represents an average annual rate of return of 5.3% for taxpayers.
Other benefits are described in the full report at www.ivytech.edu/impact.
Emsi is a labor market analysis company that integrates data from a wide variety of sources to serve professionals in higher education, economic development, workforce development, talent acquisition and site selection. Emsi is a leading provider of economic impact studies and labor market data to educational institutions in the United States and abroad. Since 2000, Emsi has carried out more than 2,000 economic impact studies for institutions in three countries.
Ivy Tech Community College is the largest public post-secondary educational institution in Indiana and the largest community college system statewide, accredited by the Higher Learning Commission. Ivy Tech has campuses throughout Indiana and also serves thousands of students each year online. It serves as the development engine of the state’s workforce, offering short-term associate’s degree and certificate programs, as well as training that matches the needs of the community. The College also offers courses and associate degree programs that seamlessly transfer to other colleges and universities in Indiana, as well as out of state, for a more affordable path to a bachelor’s degree. .