If you have k educational levels you need to create

k-1 dummy variables. One educational level ("reference

level") won't have a dummy variable of its own. If

e.g. you chose "no education" as reference level, then

you create one dummy for each of the remaining

levels. How you do that depends on your software,

the logic is something like

if education_variable = 1, then edu_dummy_1 = 1

if education_variable is not = 1, then edu_dummy_1 = 0

if education_variable = 2, then edu_dummy_2 = 1

if education_variable is not = 1, then edu_dummy_2 = 0

HTH

P.