Luther College
Decorah, Iowa · Private Nonprofit · 71.5% acceptance rate
ROI Score: 60/100 · Fair Value
Luther College scores 60 (Fair Value) on the CampusROI scale. The institution has a 71.1% completion rate and a repayment rate of 86.4% -- both respectable for a small private liberal arts college. But the debt-to-earnings ratio of 0.703 is high (sub-score 28 out of 100), reflecting $27,000 median debt against $38,400 median 6-year earnings. The payback period of 9.4 years is long. Sticker tuition is $52,120 but net price of $23,097 reflects substantial discounting; low-income students pay $12,517-$12,835. Located in Decorah, Iowa, Luther is a Lutheran liberal arts college with 1,379 students -- small enough that program-level graduate counts are often single digits or teens. Registered Nursing is the standout program (31 graduates, $75,533 year one, B grade). Computer Science (17 graduates, $63,760 year one) and Accounting (11 graduates, $60,068 year one) are the other above-average earners. Many Luther programs carry D or F grades: International Relations earns an F (debt-to-earnings 1.264), Social Work earns a D, and Biology earns a D (0.920 ratio). The music program (33 graduates, $45,367 year one) earns a C grade, consistent with arts sector employment realities. The overall score of 60 reflects a capable but not financially exceptional institution.
Luther College
Quick Numbers
| In-state tuition + fees | $52,120/yr |
| Out-of-state tuition + fees | $52,120/yr |
| Average net price | $23,097/yr |
| Total 4-year cost (net) | $92,388 |
| Median earnings (10yr post-entry) | $59,850 |
| Median earnings (6yr post-entry) | $38,400 |
| Median debt at graduation | $27,000 |
| Estimated monthly loan payment | $286 |
| Estimated payback period | 9.4 years |
| 6-year graduation rate | 71.1% |
| Undergraduate enrollment | 1,379 |
Data as of 2024-2025. Source: College Scorecard API (U.S. Department of Education).
The Full Financial Picture
The sticker price at Luther College is $52,120/year. But sticker price isn't what most students pay. After grants, scholarships, and financial aid, the average student pays a net price of $23,097/year, or roughly $92,388 over four years.
That net price varies significantly by family income. The lowest-income families (under $30,000/year) pay an average of $12,517/year, while families earning over $110,000 pay $29,376/year.
The median graduate leaves with $27,000 in federal loan debt, translating to an estimated monthly payment of $286 on a standard 10-year repayment plan. Against median earnings of $59,850 ten years out, the debt-to-earnings ratio is 0.70 - within the recommended range but worth monitoring.
Net Price by Family Income
What families actually pay after grants and scholarships, by income bracket.
| Family Income | Avg Net Price/Year |
|---|---|
| $0 - $30,000 | $12,517 |
| $30,001 - $48,000 | $12,835 |
| $48,001 - $75,000 | $19,351 |
| $75,001 - $110,000 | $22,204 |
| $110,001+ | $29,376 |
Cost by Income Bracket Explained
Lower-income families (under $30K)
The 0-30000 income bracket pays $12,517 per year and the 30001-48000 bracket pays $12,835. These are meaningful discounts from the $52,120 sticker price. Against $38,400 median 6-year earnings and a 9.4-year payback, the low-income net price creates a workable financial case -- if the student completes and enters a decent-earning program. The 71.1% completion rate is moderate risk.
Middle-income families ($30K-$110K)
The 48001-75000 bracket pays $19,351 and the 75001-110000 bracket pays $22,204. These costs rise noticeably from the lower brackets. Against moderate earnings outcomes and $27,000 median debt, the financial case tightens for middle-income families. Students in business, CS, or nursing can make the numbers work; students in social sciences or arts face a more difficult equation.
Higher-income families ($110K+)
The 110001-plus bracket pays $29,376 per year -- roughly $117,500 over four years. Against a 9.4-year payback period and $38,400 median 6-year earnings, this is a stretched investment at full net cost. The financial case for high-income families depends heavily on which program the student pursues. Nursing and CS graduates can make it work; humanities and social science graduates face long payback horizons.
Earnings by Major
Top 10 most popular majors at Luther College with available earnings data.
| Major | Median Earnings | Grade |
|---|---|---|
| Biology | $63,998 | D |
| Music | $50,947 | C |
| Registered Nursing | $77,569 | B |
| Business Administration, Management, and Operations | $68,510 | C+ |
| English Language and Literature | $46,116 | D |
| International Relations | $53,510 | F |
| Computer Science | $63,760 | B |
| Social Work | $47,660 | D |
| Teacher Education | $50,164 | C |
| Natural Resources Conservation | $52,296 | - |
Earnings reflect median 4-year post-completion (or 1-year where 4-year unavailable). Grades based on debt-to-earnings ratio.
Program Analysis
Why these programs deliver their earnings outcomes.
Registered Nursing
Registered Nursing (31 graduates) is the strongest ROI program at Luther: $75,533 year one and $77,451 at year four, with a B grade (debt-to-earnings 0.357, median debt $27,000). The debt is the institutional median and higher than at large public nursing programs, but the earnings cover it comfortably. Nursing is the clearest financially defensible path at Luther for students who can gain admission to the program.
Computer Science
Computer Science (17 graduates) earns $63,760 at year one (no four-year figure reported). Debt-to-earnings ratio of 0.423 (B grade) with median debt of $27,000. The year-one earnings are competitive and consistent with software development roles in regional Midwest markets. Small program size limits statistical precision. Students interested in CS at Luther should weigh the career placement support against larger CS programs at more connected campuses.
Business Administration, Management, and Operations
Business Administration (31 graduates) earns $49,491 year one and $68,510 at year four, with a C+ grade (debt-to-earnings 0.546, median debt $27,000). Earnings are below what comparable programs deliver at business-focused institutions. The C+ grade reflects that the debt load is not well-matched to the earnings trajectory for a standard liberal arts business curriculum. Students with strong accounting or finance ambitions would benefit from a more specialized business program.
International Relations
International Relations (18 graduates) earns an F ROI grade: $21,358 year one and $53,510 at year four, with median debt of $27,000 and a debt-to-earnings ratio of 1.264. Year-one earnings of $21,358 are well below what is needed to service $27,000 in debt. The four-year jump to $53k suggests eventual career recovery but the near-term financial picture is difficult. Students interested in international affairs should either plan for graduate school immediately after graduation or enter with very low debt.
Music
Music (33 graduates) earns $45,367 year one and $50,947 at year four, with a C grade (debt-to-earnings 0.595, median debt $27,000). Luther is known for its music program and this outcome is consistent with typical music-sector employment: modest but stable earnings in performance, education, and related fields. The C grade reflects adequate but not strong financial returns given the debt level. Students pursuing music at Luther are making a vocation-driven choice rather than a purely financial one.
How Graduates Do
Earnings
Loan Repayment
| Metric | This School | Nat'l Avg |
|---|---|---|
| 1-year repayment | 85.2% | 52.0% |
| 3-year repayment | 86.4% | 62.0% |
| 5-year repayment | 84.8% | 68.0% |
| 7-year repayment | 89.0% | 72.0% |
Completion Rate
Admissions Snapshot
| Acceptance rate | 71.5% |
| SAT Math (25th-75th) | 528-738 |
| SAT Reading (25th-75th) | 550-668 |
| ACT Composite (25th-75th) | 22-29 |
| Enrollment | 1,379 |
| Pell Grant recipients | 20.4% |
| Avg faculty salary (monthly) | $8,115 |
Luther's 71.5% admission rate indicates it is moderately accessible. SAT 528-738 Math and 550-668 Reading shows a wide spread -- the lower end of this range is meaningfully below selective liberal arts peers. ACT 22-29 composite. Students with clear STEM or professional interests and academic profiles in the upper half of these ranges are well-positioned for admission.
Compared to Similar Schools
Peer institutions matched by type, size, and selectivity.
Scorecard peers include Briar Cliff University, Buena Vista University, Walsh University, and Adventhealth University -- all small private institutions with mixed outcomes. Luther's overall score of 60 is middle of the cohort. Its repayment rate of 86.4% and completion rate of 71.1% are better than most named peers. The peer set reflects size and geography more than academic profile. Students comparing Luther to other Midwest Lutheran liberal arts colleges (like St. Olaf or Gustavus Adolphus, neither in the peer set) would find those schools have stronger earnings outcomes and lower debt-to-earnings ratios.
| School | ROI | Net Price | 10yr Earnings |
|---|---|---|---|
| Luther College (this school) | 60 | $23,097 | $59,850 |
| AdventHealth University | 63 | $30,135 | $72,282 |
| Walla Walla University | 62 | $23,329 | $61,885 |
| Walsh University | 58 | $20,493 | $59,764 |
| Briar Cliff University | 46 | $23,907 | $54,475 |
| Buena Vista University | 39 | $18,846 | $49,156 |
Who Thrives Here
Luther admits 71.5% of applicants, with SAT mid-ranges of 528-738 Math and 550-668 Reading; ACT 22-29. The wide ranges suggest a mixed academic profile across programs. Enrollment of 1,379 is small. Pell grant rate of 20.4% indicates moderate low-income enrollment. Luther draws students from the Midwest who value its Lutheran identity, residential liberal arts environment, and strong music and arts programs. Students who are clear about high-earning professional paths (nursing, CS, accounting) can find reasonable value. Students pursuing music, arts, social work, or international relations face debt-to-earnings headwinds that should factor into the decision.
The Verdict: A Reasonable Bet - With Caveats
Luther College offers fair financial value, though the ROI depends heavily on individual circumstances. The net cost of $23,097 per year leads to $92,388 over four years, while graduates earn a median of $59,850 a decade out. The payback period of 9.4 years is about average - not bad, but not a standout either.
Key strengths include a 71.1% graduation rate, high loan repayment success. However, the data also shows high debt relative to what graduates earn.
Median debt of $27,000 against $59,850 in earnings is reasonable, though major choice matters significantly. Students in higher-earning programs will see better returns.
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Data: College Scorecard API (U.S. Department of Education)
Vintage: 2024-2025 · Last updated: 2026-03-25
Earnings reflect median outcomes for all federal financial aid recipients. Individual results vary by major, effort, and career path.