Should you get an MBA? According to business schools with accelerated online MBA programs, absolutely. But in real life, the answer is more complicated.
Ideally, an MBA — short for masters in business administration — is an investment in your future that will give you more career choices and higher earnings potential. According to MBA.com, you can class it as an investment — and like any investment, there are costs, such as tuition and fees, along with any earnings you may lose while you complete your coursework. If you leave a full-time job that pays $120,000 annually to attend a full-time MBA program for 12 months that costs $85,000, your total investment, practically speaking, is $205,000. Assuming you secure a higher-paying job after you finish your degree — $180,000 per year, for example, or a $60,000 increase — then you'll recoup your investment in a little over three years.
It's a very rough example, but a little back-of-the-envelope math can provide a good frame of reference if you're just starting to consider it. You may have additional incentives to pursue your MBA, such as tuition reimbursement from an employer, which can drastically reduce your portion of the costs. The earnings potential might also be significant — according to the Harvard Business Review, the average starting salary for MBA holders in 2021 was between 22 and 40 percent higher than the average salary for those with only a bachelor's degree.
And arithmetic doesn't describe all the possible advantages — you'll gain valuable job skills, find opportunities to grow as a teammate and leader, and build crucial connections with other program alumni.
But not everyone thinks an MBA is worthwhile, even if your employer pays for it. Writing for Forbes, entrepreneur Paulina Karpis commented that MBA curricula are increasingly archaic in today's economy, and the benefits don't match up with the potential costs. According to Business Because, the total cost of an MBA at the vaunted Harvard Business School was about $245,000 in 2024.
