How Much Does an MBA Cost?

Paying for Tuition, Fees & Other Common Expenses Pursing an MBA

Consistently ranked as the most popular graduate degree, the MBA serves as the gold standard for business education, building high-level skills and preparing graduates for diverse career paths. An MBA traditionally encompasses comprehensive business knowledge in areas such as finance, management, economics, and marketing. Some programs allow students to specialize their degree with concentrations in areas such as entrepreneurship, information technology, and healthcare administration.

The Graduate Management Admissions Council reports that MBA graduates earn an average starting salary of $115,000. The National Center for Education Statistics (NCES) reports that the average cost of a two-year graduate degree is $38,628, and tuition at top-ranked programs regularly exceeds $100,000.

Earning an MBA degree online often saves students money. This page offers an overview of what it costs to earn an online MBA, including tuition rates, financial aid options, and strategies to make an online MBA more affordable.

How Much Does an MBA Cost?

According to the 2021 study by AffordableCollegesOnline, students reported that the average cost of a fully on-campus MBA was $39,048.78. The average cost of a fully online MBA was $29,037.38. Several factors affect tuition rates at online MBA programs, including type of school, enrollment status, and delivery format. The NCES reports that graduate degrees of all types cost an average of $19,314 per year, with two-year programs totaling $38,628 in tuition expenses. However, online MBA tuition rates vary widely among schools, and total tuition expenses may exceed $200,000 at many of the country's elite programs.

Public colleges often offer lower tuition rates than private colleges, and in-state students at public schools often pay lower tuition rates than out-of-state students. However, some public colleges offer in-state tuition to all online students regardless of where they reside.

Enrollment status can also affect tuition costs. A part-time MBA gives students the flexibility to work while in school, but these programs feature a lighter course load each semester, keeping students in school longer and potentially driving up tuition expenses. Conversely, accelerated programs feature a heavier course load but enable students to graduate sooner.

Students should also keep in mind that most MBA programs include expenses beyond tuition, such as application and registration fees, textbooks, and technology costs. Planning for higher education expenses can feel overwhelming, but admissions advisors can assist students in understanding common expenses and other fees associated with college education.

We Surveyed 383 MBA Students. Here's What They Said...

How was your MBA offered?

Are you a first-generation MBA student?

Ethnic Background & Heritage

Gender Identity

Frequently Asked Questions About Online MBA Cost

Paying for Your Online MBA

Graduate programs in business offer strong career and salary prospects, and tuition rates typically reflect these professional outcomes. Even at more affordable state schools, MBA candidates often graduate with over $50,000 in student debt. Online MBA candidates can ease their financial burden by pursuing educational funding sources, several of which we highlight below.

How are other students paying for their MBA?

• 73% of Students indicated they personally financed their MBA
• 32% received grants or financial aid
• 6% Employer paid 100% of cost
• 21% employer paid a portion of the cost
• 2% indicated they paid for their MBA in a different way

• Federal and State Grants

  Federal and state grants offer funding for education that never requires repayment. Commonly available at the undergraduate level, very few grants serve students pursuing MBA programs. However, some state and school-specific grants may support graduate students of certain backgrounds. Graduate students can submit the FAFSA to determine their eligibility for federal and state grants.

• Federal and Private Loans

  The most common funding source for graduate education, federal and private loans enable students to borrow money to fund their studies. The federal government offers different types of loans with varying interest rates and repayment options, including subsidized loans for students who demonstrate financial need. Private lenders, such as banks, also offer loans, but these typically come with higher interest rates than federal loans.

• Employer Assistance

  Some businesses develop their workforce by sending employees back to school, potentially covering some or all tuition expenses for an online MBA. Employer assistance for graduate education may enable students to earn their MBA degree online while still working, applying course learning directly to their career. Students should consult their employers to identify these opportunities.

• Scholarships

  Like grants, scholarships do not require repayment. Many organizations offer scholarships, including nonprofits, professional associations, community organizations, and private businesses. Some scholarships serve applicants of specific backgrounds or professional fields. Websites such as Unigo and Niche compile searchable scholarship listings.

• Work Study

  Work-study programs pay students to work using federal funds. Work-study opportunities typically consider financial need, and schools may try to match students with work-study jobs relevant to their academic and professional interests. Colleges can help students identify appropriate work-study opportunities.

• Veteran Benefits

  Military veterans can receive higher education funding through the GI Bill, which provides support for undergraduate and graduate students. The U.S. Department of Veterans Affairs provides direct funding for tuition, academic fees, textbooks, and housing expenses, with funds disbursed monthly to eligible veterans.

How to Make an MBA More Affordable

Online MBA costs vary widely according to factors such as program length, residency, and enrollment status. Careful research can help students identify the most affordable options. The list below highlights several ways that students can reduce online MBA expenses.

Many MBA programs offer accelerated tracks for students who want to spend less time in school. These programs feature a heavier course load spread over fewer total semesters, sometimes enabling candidates to graduate in as little as one year. Accelerated programs may offer lower total tuition costs because students spend less time in school. Many public colleges offer lower tuition rates than private colleges, and in-state students at public schools often pay lower tuition rates than out-of-state students. However, some public colleges offer in-state tuition rates to all online students regardless of where they reside. Many MBA programs cater to working professionals. Online, part-time, and evening and weekend programs often give students the flexibility to continue working while earning their degree. Student loans typically do not require repayment until six months after graduation, but MBA candidates can start repaying their loans before finishing their degree to minimize interest.

Is an MBA worth it?: Graduated Repsonses

Among the 343 students surveyed in the AffordableCollegesOnline study, 70% (256) of students indicated that their salaries increased. However, 91% (311) of students believed their salary would increase from an MBA. When asked if respondents could go back, would they get their MBA again, 87% of surveyed students responded yes. Below are responses from surveyed MBA graduates:

• "An MBA program is something that I am determined to accomplish because I know I am worthy of it." 49, African American, Female, Wright state university

• “I would definitely do an MBA program again as I have gained valuable and marketable skills to enhance my career.” 22, Asian, Female, Georgia Southern University

• "An MBA program was worth it to meet the people I met, to learn and experience the things I did, and to prove I’m a better learner and student than I was 10 years ago." 34, caucasian, Male, Auburn University

• "I’m not sure if I would get an MBA degree. Would I get it knowing what I know now? No. I’m in law enforcement and I don’t need it. It just depends. If I didn’t know I’d end up in law enforcement and was still trying to figure everything out then yeah I would get an MBA. You need more choices besides “yes or no.” 24, African American, Male, LSU

• "I learned a lot during my program but I'm not sure if it was worth it or not." 44, Asian, Female, Portland State University

What Type of MBA is the Most Affordable

Type of MBA	Number of MBA Students	Total Spent on MBA	Average MBA Cost	MBA Cost vs Total Average	Percent Difference
Entrepreneurship	16	$599,000.00	$37,437.50	+$3,740.71	11.10%
Finance	73	$2,687,000.00	$36,808.22	+$3,111.43	9.23%
General MBA (no specialization or concentration)	84	$2,524,000.00	$30,047.62	-$3,649.17	-10.83%
Healthcare	7	$244,000.00	$34,857.14	+$1,160.35	3.44%
Human Resources	9	$327,000.00	$36,333.33	+$2,636.54	7.82%
Information Security	2	$105,000.00	$52,500.00	+$18,803.21	55.80%
Information Technology	48	$999,000.00	$20,812.50	-$12,884.29	-38.24%
International Business	10	$234,000.00	$23,400.00	-$10,296.79	-30.56%
Management	69	$2,871,000.00	$41,608.70	+$7,911.91	23.48%
Marketing	12	$508,000.00	$42,333.33	+$8,636.54	25.63%
Other	11	$413,000.00	$37,545.45	+$3,848.66	11.42%
Real Estate	2	$47,000.00	$23,500.00	-$10,196.79	-30.26%
Grand Total	343	$11,558,000.00	$33,696.79

MBA Resources

A global nonprofit focused on business education, the AACSB accredits academic business programs and fosters a community of global business leaders and educators. The organization hosts professional events and advocates for business education. One of the premier professional organizations for business professionals, the AMA hosts professional events, facilitates networking opportunities, and produces business publications. The organization offers discounted memberships to business students. Serving more than 45,000 members across the country, BPA offers professional development, scholarship, and networking opportunities to learners studying business management, finance, information technology, and related fields. The standard admission exam for graduate business programs, the GMAT is an important component of many MBA applications. GMAT Prep offers comprehensive test preparation resources, including practice exams and study strategies.

Survey Methodology

All data was collected between 6/14/21 and 7/3/21. Respondents were fielded by Lucid LLC. All 343 respondents in the study were screened by multiple quality checks, including systems like Relevant ID, and responses were manually reviewed to ensure consistency and accuracy. Survey participants include 169 currently enrolled MBA students and 174 graduates from MBA programs within the past 6 years. Respondents are between 21 and 78 years of age and identified as 45% Female, 54% Male, and 1% non-binary.

Student testimonials have generally been obtained with the offer of compensation for completion of a survey (e.g., entrance into a gift card drawing). Such testimonials are the opinions of such students and surveys are designed to avoid influencing such testimonials either positively or negatively. All student respondents were supplied by Lucid LLC.