An MBA (Master of Business Administration) is one of the highest academic qualifications one can achieve in business studies. This degree will open up opportunities in industries where management is a key factor to success. If you are planning to pursue a Master’s degree, you should consider the cost of the MBA program before making an application.
There are many factors that affect the cost to you, and you need to understand them to get the best value for your money. Mba isn’t a cheap thing to do, and you can’t get an MBA in just any school. It’s a big investment, one that requires careful consideration. Some schools offer financing options, but be aware that these are often loans that must be repaid—and that can have serious long-term financial implications.
The cost of an MBA varies from one school to another and it also depends on the chosen discipline and duration of the program. It is advisable to do thorough homework before making a decision. The annual cost of an MBA in the US ranges from $48,000 to $200,000 depending on the program, school, and country.
The value of an MBA is determined by how much your salary increases after you graduate. That said, the cost to obtain an MBA varies widely depending on a number of factors, including your choice of business school, your job, and your country of origin.
How much does an MBA degree cost? Well, the answer to that question depends on your definition of cost. An MBA is a business degree, and as such, one should think of its cost in terms of the financial return on investment (ROI) it provides.
To help you find the program that’s right for you, we’ve gathered some of the most important things to consider when weighing the cost of an MBA.
Cost of Intakes
If you would love to advance your business career or you’re even considering a career in business, a Masters in Business Administration (MBA) is a program you should go for. It is a graduate degree to help develop the strength and abilities that are needed for careers in business and management.
There are many factors you should put into consideration before making the decision of whether to go back to school for an MBA of which cost is one. Calculating the cost is what you should rate as your number one.
In the United States, the cost of an MBA degree varies, but on average, the tuition for 2 years program running full-time is above $60,000. Top business schools in the US even pay as much as $100,000 or more, for fees and tuition.
There are some pre-MBA expenses before you start the course properly; there’s the TOEFL (that’s the Test of English as a Foreign Language) which is the standardized test that’s used to measure applicants’ understanding of the English language. This test is to check if the applicant conveniently undergoes a course at university (graduate schools) in English-speaking countries.
The cost of TOEFL is roughly $170, exclusive of other charges ($35 for late registration and $20 to reinstate a canceled score)
Whether you’re taking TOEFL or not, the GMAT (or GRE) is compulsory. This exam is a test to measure higher-order reasoning skills like; complex judgments, solutions to problems, critical thinking, and analysis. Global, GMAT costs $250.
You see it’s something you have to sit to make proper arrangements for and come up with your firm decision.
Cost of Application
Your decision of going back to school to earn a Masters’s degree in Business Administration is surely a significant financial investment, it requires a lot of financial commitments.
The cost of applying for an MBA program (now, excluding the fees and tuition) is a bit expensive; it not just includes GMAT preparation but also having to hire the services of admissions consultants. The application cost for business schools is one cost that quite a number of students overlook completely.
An average student submits applications to 6- 10 business schools and more than $2,000 is churned out on these processes.
Top business schools like:
- Wharton accepts $265 for application fees
- Harvard Business School accepts $250
- Stanford GSB – $275
- Booth School of Business – $250
- Kellogg School of Management – $250
- MIT Sloan – $250
- Columbia Business School – $250
- Dartmouth Tuck – $250
- Yale School of Management – $250
- Michigan Ross – $200
- Duke Fuqua – $225
- Virginia Darden – $250
- Cornell Johnson – $200
- UCLA Anderson – $200
- NYU Stern – $250
- UNC Kenan-Flagler – $150
- Indiana Kelly – $75
- Washington Foster – $85
- Minnesota Carlson – $75
- Wisconsin School of Business – $75
- Ohio state Fisher – $70
- Penn State Smeal – $65
- Maryland Smith – $75
- Boston Questrom – $125
- Texas Dallas Jindal – $100 (domestic), $150 (international)
- Texas A & M May – $175 (domestic), $200 (international)
- Boston College Carroll – $100
- Rutgers – $70
- Emory Goizueta – $175
There you have it, the application cost of each school so that you can properly plan your expenses if you’re planning to apply to one or more of them.
Cost of Tuition
Knowledge cannot be priced, that’s true, but there’s a cost to pay for it. That’s why you have to pay for an application into a business school and also pay the tuition.
Just like application fees, tuition fees vary from school to school. And despite the variation, the average turion for 2 year MBA program is more than $60,000. Top business schools charge as much as $100,000.
Check out some of the most popular business schools and how much they charge for tuition.
Harvard Business School and Standford GSB – over $120,000 (24-month program)
Kelly School of Business – $51,182 for local students, $74,084 for international students, per year of course.
Tuck School of Business – $70,000 – $80,000 (for 21 months)
Some business schools that offer MBA program in the USA include:
- Harvard University, Cambridge
- Stanford GSB, Standford
- Dartmouth College, Hanover
- Cornell University, Ithaca
- Emory University, Atlanta
- Texas A & M University, College Station
- Georgetown University, Washington DC
- University of California, Berkeley campus, Berkeley
- University of Michigan, Ann Arbor
- New York University, New York
- Duke University, Durham
- Ohio State University, Columbus
- University of Minnesota, Minneapolis
- Boston University, Boston
- Rutgers University, Newark
Though they are expensive, there ways you can reduce your expenses for an MBA. One of these is to research scholarships offered by your target school and other organizations too.
It is quite important that you don’t lose focus on your career goals when considering the cost of the school and the program too. You should budget accordingly so that you don’t have to endure a financial strain.