ROI Score
CollegeROIData's proprietary rating from 0-100 (graded A-F) that measures how well a school's graduates' earnings justify their student debt burden.
Detailed Explanation
The ROI Score is the core metric of CollegeROIData, designed to answer one question: does this degree pay off? The score ranges from 0 to 100 and translates to letter grades: A (80-100), B (65-79), C (50-64), D (35-49), and F (0-34). The score is calculated from four weighted factors: debt-to-earnings ratio (40% weight), which measures how manageable the debt load is relative to post-graduation earnings; graduation rate (25% weight), because a degree you never finish has infinite negative ROI; earnings premium (20% weight), comparing graduates' earnings to the median for high school graduates; and retention rate (15% weight), as an indicator of institutional quality and student satisfaction. Each factor is normalized to a 0-100 scale, then combined using the weighted formula. The ROI Score is calculated at the school-major level when program-specific data is available, and at the school level using aggregate data otherwise. An ROI Score of A indicates strong financial outcomes with debt well below earnings, while an F indicates graduates are likely to struggle with repayment.
Related Terms
Debt-to-Earnings Ratio
The ratio of a graduate's total student loan debt to their annual earnings after graduation, used to assess whether a degree's cost is proportionate to its financial return.
Graduation Rate
The percentage of first-time, full-time students who complete their degree within 150% of the expected time (six years for a four-year degree).
Earnings Premium
The additional income a college graduate earns compared to a worker with only a high school diploma, measuring the financial value added by a degree.
Retention Rate
The percentage of first-time students who return to the same institution for their second year, an early indicator of student satisfaction and institutional quality.
Source: U.S. Department of Education College Scorecard, 2026.
Frequently Asked Questions
What is roi score?
CollegeROIData's proprietary rating from 0-100 (graded A-F) that measures how well a school's graduates' earnings justify their student debt burden.
Why does roi score matter for college ROI?
The ROI Score is the core metric of CollegeROIData, designed to answer one question: does this degree pay off? The score ranges from 0 to 100 and translates to letter grades: A (80-100), B (65-79), C (50-64), D (35-49), and F (0-34). The score is calculated from four weighted factors: debt-to-earnings ratio (40% weight), which measures how manageable the debt load is relative to post-graduation earnings; graduation rate (25% weight), because a degree you never finish has infinite negative ROI; earnings premium (20% weight), comparing graduates' earnings to the median for high school graduates; and retention rate (15% weight), as an indicator of institutional quality and student satisfaction. Each factor is normalized to a 0-100 scale, then combined using the weighted formula.
this entity is one of the U.S. college cost, debt, and post-graduation earnings concepts that recurs across this site. The definition above is the technical answer; the paragraphs below add the practical context for how the concept connects to the the U.S. Department of Education College Scorecard data behind every per-entity page on the site.
In the the U.S. Department of Education College Scorecard data, this concept shapes one or more of the fields that drive the per-entity grades and rankings on this site. The methodology page describes which fields feed into which output; this glossary entry documents the underlying term.