According to James Heckman and Paul LaFontaine, authors of "Understanding the GED," at a lecture given to the National Association of Forensic Economists, few individuals who pass the GED benefit financially from the effort. Individuals who drop out of school and take the test engage in other dropout behavior, such as dropping out of the military or family relationships. Those who earn GEDs may also spend more time out of work
Employers may see the GED as inferior to a high school diploma. Employers value the perseverance and self-motivation of the student who completes high school. Additionally, the GED cognitive skills test at the ninth or tenth grade level.
Individuals who earn their GEDs often earn the same wages as high school dropouts. This negates the argument that the GED improves the earning power of the GED recipient.
The U.S. Army does not enlist individuals who earn GEDs, although the Army Reserves may provide necessary waivers for a few select individuals. Applicants who only have a GED cannot earn bonuses. They must complete at least 15 hours of college credit to qualify for earned bonus pay. Individuals who have completed 30 hours of college credit do not require GED waivers.
Students who dropped out more than a few years ago may find the GED difficult to pass, according to the Education Portal. While the GED test is limited to reading, math, science, social studies and writing, individuals may not retain information necessary to pass the test if they don't use it frequently. GED study courses often provide individuals with information and practical tips to study for the test, but the time required to relearn the material may require the student to study just as long and hard as he might have if he hadn't dropped out.
Some individuals take the GED so they can enter college. Heckman and LaFontaine reported that 61 percent of those who took and passed the GED in 2006 did so to enter college. Not all colleges accept the GED, although most do. Students who enter college with GEDs drop out of college at almost the same rate as students who enter without high school diplomas.