It may be surprising to learn that someone as successful as Bill Gates regrets not finishing his degree at Harvard. In fact, he delayed choosing Microsoft over college for as long as possible.
As he shared with CNBC Make It, he was having a great time as a Harvard undergraduate, making his decision to leave and start a software company at 20 a tough one.
“I enjoyed the classes, including some that I just sat in on — psychology, economics, history courses,” Gates recalled. “I loved having smart people around.”
But in 1975, he and his childhood friend Paul Allen knew they had to act quickly on their dream of developing software for the personal computers they believed would one day be in nearly every American home.
He was spurred to drop out of Harvard and pursue his dream when he saw an issue of Popular Electronics featuring the first commercially successful personal computer in the U.S. — the Altair 8800.
“God, it’s happening without us,” he thought.
Gates had a world-changing idea and the right timing. But even after co-founding Microsoft with Allen, he still hoped to return to Harvard to finish his degree.
Most U.S. college students don’t have a multi-trillion-dollar industry waiting for them on the other side of their dorm-room door, but a lot of them are dropping out.
In fact an estimated 1 in 3 U.S. college students drops out every year. While some leave to pursue big opportunities, others leave due to financial pressures, academic burnout or personal setbacks.
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The decision comes down to opportunity cost. As much as he loved Harvard, Bill Gates didn’t want to miss out on the chance to build something that would change people’s lives: “A computer on every desk and in every home.”
Unfortunately, there are opportunity costs to dropping out, too. One is earning power.
The National Center for Education Statistics reports that the median income for bachelor’s degree holders is $66,600, compared to just $41,800 for those with a high school diploma.
