Shaw University provides crucial educational access for low-income and first-generation students who might not otherwise attend college, serving as an important pathway to higher education in North Carolina.
The university maintains financial stability for graduates through affordable pricing and successful debt management, though earnings outcomes remain modest compared to national averages.
Shaw University is a small private nonprofit institution in Raleigh, North Carolina, that serves a predominantly low-income student population with strong access but faces significant challenges in graduation rates and earnings outcomes. The university enrolls 65% Pell Grant recipients and 40% first-generation students, reflecting its mission to provide educational opportunities for underserved communities. However, Shaw struggles with completion rates, with only 20% of students graduating within six years, well below national averages for similar institutions.
The university's financial outcomes place it in the bottom tier nationally, with graduates earning a median of $34,409 ten years after enrollment—significantly below what similar students achieve at other institutions. Shaw falls into the "Under-Resourced Institutions" mobility quadrant, indicating high access but limited success in translating that access into strong economic outcomes for low-income students.
Despite these challenges, Shaw offers an affordable path to higher education with net prices ranging from $12,125 for low-income students to $24,706 for higher-income families. The university's small size and private nonprofit status provide opportunities for personalized attention and community building that larger institutions cannot match. For students who complete their degrees, Shaw provides entry into professional fields, particularly business and social work, though earnings remain modest compared to national benchmarks.
Shaw University's program portfolio reflects its focus on practical, service-oriented careers that align with community needs rather than high-earning professional fields. Business Administration and Management stands out as the university's strongest program by aggregate return, graduating 24 students annually who earn a median of $29,866 ten years after graduation. While these earnings are modest by national standards, the program provides a foundation for entrepreneurship and small business management that can serve graduates well in local and regional markets.
Forensic Social Work represents Shaw's largest program by enrollment, graduating 20 students per year with median earnings of $32,391. This specialized field combines social work principles with criminal justice applications, preparing graduates for careers in victim services, court advocacy, and community corrections. The earnings reflect the public service nature of these roles, where compensation is modest but the work provides meaningful community impact.
Both programs demonstrate Shaw's commitment to preparing students for careers that serve their communities rather than pursuing maximum earnings potential. While this mission-driven approach limits financial outcomes compared to institutions focused on high-earning fields like engineering or finance, it aligns with the university's historical role in developing community leaders and service professionals. Prospective students should understand that Shaw's programs prioritize social impact and community engagement over maximum salary potential, making the university most suitable for students who share these values and career aspirations.
Shaw University graduates face significant earnings challenges compared to national averages and peer institutions. Ten years after enrollment, graduates earn a median of $34,409, placing the university in the bottom half of institutions nationally for long-term financial outcomes. More concerning, Shaw graduates earn approximately $2,086 less than similar students at other institutions would be expected to earn, indicating that the university struggles to add value beyond what students might achieve elsewhere.
The university's program offerings center on practical, service-oriented fields that typically lead to modest but stable career paths. Business Administration and Management is Shaw's strongest program by aggregate return, graduating 24 students annually with median earnings of $29,866 ten years out. Forensic Social Work, the university's largest program by enrollment, graduates 20 students per year who earn around $32,391, reflecting the field's focus on community service over high compensation. These programs align with Shaw's mission of preparing students for careers in business and social services, though earnings in both fields remain below national averages for college graduates.
Only 25 Shaw graduates earn more than $75,000 annually, highlighting the limited upward earnings potential for most students. While these outcomes reflect the university's focus on accessible education and community-oriented careers, prospective students should understand that Shaw's graduates typically enter lower-paying professional fields rather than high-growth industries that drive stronger long-term earnings at other institutions.
Shaw University offers relatively affordable access to private higher education, with net prices that remain manageable across income levels. Low-income students pay approximately $12,125 annually, while middle-income families face costs around $16,310 per year. Even higher-income families pay $24,706, which is competitive for a private institution, though still substantial for many families. These net prices reflect Shaw's commitment to serving students from diverse economic backgrounds while maintaining its private nonprofit mission.
The university's debt structure presents both opportunities and challenges for students and families. Typical graduates leave with $32,500 in federal student loan debt, a significant burden given the modest earnings outcomes most Shaw graduates experience. Parent PLUS borrowing averages $15,979, adding to the total family debt load. However, Shaw maintains a 0% federal loan default rate, suggesting that despite lower earnings, graduates are managing their debt obligations successfully, likely through income-driven repayment plans and other federal protections.
The combination of moderate debt levels and lower earnings means Shaw graduates must carefully manage their financial expectations and repayment strategies. While the university provides affordable access to higher education, the long-term financial sustainability depends heavily on graduates' ability to secure stable employment and utilize federal loan programs that adjust payments based on income rather than standard repayment schedules.
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