With more and more people getting four-year degrees, people are looking for any extra edge they can gain on fellow business students. Everyone has qualifications, and it’s easy to blend in. Getting an MBA from somewhere like Southern Cross University is a great way to go above and beyond.
But, how much will it help in terms of salary? Will you really make more, and is it worth the two extra years of time and money? You are not only spending more time and money, you are forfeiting two full years of income. However, for most, an MBA is WELL worth it in the long run, in this article we will dive into just how much more you can make by getting an MBA
Starting Pay
In a recent study, it was found that Post-MBA students starting pay was 50% higher than those who did not get an MBA. This stat was found accurate in multiple job types and multiple regions. For example. If someone’s pay would be $40,000, you could expect to be offered $60,000 after graduation of your MBA.
This is a substantial difference, but is it worth it? If that was the only increase in pay, you could expect to make around $800,000 more than the non-MBA graduate. That alone seems to be reason enough to go the extra two years, but the pay only gets better!
Fifth Year
In the same study, they analyzed where both types of employees were after the 5th year of employment. The gap was even bigger than before. Pay was found to be about 80% higher than those who did not get an MBA. This is a HUGE difference. Having almost double the salary of your counterpart because you got your MBA is a huge perk. From year 5 to 10 in this example, you will have made twice the amount a person of the same job will have made, just by having your MBA.
This is a stat that would shock a lot of people, taking just two extra years to get almost double the salary. One reason this might be happening is companies may tend to hesitate to promote someone higher without experience or postgraduate education. Getting your MBA is a great way to combat that concern and move higher up the ladder.
The Answer is Clear
While getting an MBA isn’t for everyone, you can see that if you have the time, money, and opportunity to get the extra two years finished you should do so. Pay alone makes it worth it. This does not include the networking opportunities, upon other things. The wider career opportunities, graduate level knowledge, and personal credentials are also benefits that can’t be given a price tag. But, money talks. Having almost double pay each year after five years in the workforce should be motivation enough to make the decision to get your MBA.
