Community colleges in North Carolina offer a variety of associate degrees, including those designed for transfer to bachelor's degree-granting institutions and applied science degrees that lead directly to employment. As workforce demands evolve due to industrial growth and population changes, a considerable number of students are transferring with Associate of Applied Science (AAS) degrees, which are traditionally not designed for transfer. Though nearly a fifth of transfer students earn an applied science degree, they face lower bachelor's degree completion rates compared to their transfer pathway peers in Associate of Arts (AA) and Associate of Science (AS) programs, due in part to credit loss during the transfer process. This brief examines the prevalence of AAS degree transfers to four-year institutions, and highlights that many AAS students are transferring directly after earning their degrees rather than entering the workforce. This analysis uses administrative data from the University of North Carolina (UNC) System office, incorporating all students who enrolled in a UNC System institution in the fall semesters 2016 through 2023, after earning an AAS degree from a NC Community College. Based on the findings, the authors offer recommendations and considerations for decision-makers to improve transfer pathways and support AAS students in achieving their educational and career goals.