Alumni Education Premium

Alumni benefit from the value of a Brandon University degree.

The alumni education premium demonstrates a university’s dynamic and ongoing economic impact. Alumni add value through the use of the skills and knowledge attained by their university education. They will earn a wage premium over those who have not completed a university education: typically referred to as an “alumni education premium”.

Brandon University has graduated 12,440 students in the last four decades (1,294 graduate students and 11,146 undergraduate students).  An estimated 76% of students stay in the region after graduation to work and live.[1]  To calculate the Alumni education premium, the wage difference for a given year between those who hold a degree and those who do not, is calculated for graduates between the ages of 25-65 (Table 6). Individuals in the oldest cohort will have higher Alumni education premiums than those in the younger cohort.  The total Alumni education premium is calculated by multiplying the number of graduates by the average education premium for each year and summing the numbers.[2]

Table 6. Alumni Education Premium (Past 40 years, 1974-2014)

Age Sex Degree Number of Graduates living in Manitoba Annual Earnings Premium for 2014
25-34 Male Undergraduate 700 $5,349,906
25-34 Male Graduate 191 $264,119
25-34 Female Undergraduate 998 $9,263,999
25-34 Female Graduate 190 ( $230,029 )
35-44 Male Undergraduate 1,177 $19,084,002
35-44 Male Graduate 87 $1,419,184
35-44 Female Undergraduate 1,750 $19,037,235
35-44 Female Graduate 209 $1,676,197
45-54 Male Undergraduate 1,053 $25,786,216
45-54 Male Graduate 71 $1,333,028
45-54 Female Undergraduate 2,007 $14,890,157
45-54 Female Graduate 157 $2,146,587
55-64 Male Undergraduate 1,023 $15,343,418
55-64 Male Graduate 112 $2,026,503
55-64 Female Undergraduate 2,438 $14,382,136
55-64 Female Graduate 277 $4,119,756
TOTAL 12,440 $135,892,414

The Alumni Education Premium for the 2014/2015 year for Brandon University graduates is calculated at $135.9 million which with a multiplier of 1.5 results in a total impact of $203.8 million. In Manitoba, the alumni education premium for university graduates with a bachelor’s degree is between $7,643 and $24,498 per year for men and $5,899 and $10,877 per year for women.

  1. Estimate after University of Calgary 2013, and confirmed by BU Office of Advancement and External Relations
  2. The Sudmant Method for 2014/2015 covers the wage period in relation to the period 1974-2014. For the 2015 analysis it would be for the period 1975-2015