Can you make six figures with an MBA? The numbers don’t lie.
What is the lifetime ROI of an MBA?
While you may spend three years earning your MBA, depending on the program, the long-term payoff could be downright life-changing.
According to a 2021 analysis of salary data, Poets & Quants1 reports that an MBA could be worth up to $2.3 million more than a bachelor’s degree over a lifetime.
The lifetime median cash compensation for MBA graduates from the top 50 business schools is more than $5.7 million over 35 years.
If you’re looking to advance to an executive-level position, an MBA makes solid business sense: 69% of American CEOs are also MBA grads2.
On top of that, a recent Forte Foundation3 study projected that 10 years after earning an MBA degree, the salaries of grads will grow between 9% and 35%.
The one-two punch of work experience plus an MBA is a tried-and-true path to financial success. An Association of MBAs survey4 found that 68% of respondents who graduated more than a year ago were more confident after acquiring their degree and 62% were better at resolving problems by finding new solutions.
While it’s not always easy to quantify MBA benefits in the future, it is fairly simple to draw a line between confidence, experience, and capability leading to long-term job satisfaction.
Are MBAs worth the investment? Count on it.
Get hired. Get paid. Get a job you enjoy. It’s the dream outcome for those entering an MBA program. And according to a 2021 survey of MBA alumni by the Graduate Management Admissions Council (GMAC)5, it’s more than just a vision: 9 out of 10 alumni reported a positive return on investment from their graduate business education, while 87% felt their degree increased their employability.
A 2023 GMAC survey of corporate recruiters6 projected starting salaries of $125k per year, plus frequent lucrative sign-on bonuses. The long-term financial value of the degree is undeniable.
But you may also wonder if an MBA means anything to employers. Notably, GMAC reports that 90% of corporate recruiters plan to hire MBAs in 2023.
Some of the benefits of an MBA degree to a company include the ability to link up different job functions to understand the business more holistically, the capacity to solve problems in unique ways, and the confidence to lead teams, projects, and strategy.
MBAs are also typically well-equipped to hold critical conversations with leadership, team members, and direct reports to improve overall company performance and efficiency.
