How Much Does an MBA Cost?
Updated August 2, 2024
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According to the National Center for Education Statistics, business programs have consistently ranked as the top master's degree option since 2010. Their popularity makes sense — a master of business administration (MBA) program can prepare graduates for administrative and managerial roles across industries.
These degrees can also help students increase their earning potential. For example, New York University's Leonard N. Stern School of Business reported an average salary increase of 56% for its MBA graduates.
However, each student's return on investment (ROI) varies and depends on several factors, including how much the MBA costs. Some programs carry price tags of over $100,000, which lowers the ROI, and the best MBA programs aren't simply those that cost the most.
We compiled proprietary data from a 2021 survey to discover the true cost of online MBAs and found that the average cost totaled around $33,000. Keep reading to learn more about affordable MBAs and which concentrations cost the least.
MBA Cost at a Glance
Of the 343 students surveyed, the average cost of an MBA was $33,700.
- Total spent on MBAs: $11,558,000
- 95 students paid $5,000 or less for their MBA
- 76 students paid $50,000-$100,000 for their MBA
- 30 students paid more than $100,000 for their MBA
- Highest recorded total cost of an MBA: $250,000
Online vs. on-campus MBA:
- An online MBA is, on average, $4,660 or 13.8% cheaper than the survey's average MBA cost.
- An on-campus MBA is, on average, $5,350 or 15.9% more expensive than the survey's average MBA cost.
- An online MBA is, on average, $10,010 or 25.6% cheaper than an on-campus MBA.
Student demographics:
- First-generation students pay an average of 10.4% more for their MBA than the survey's average.
- Males pay an average of 5.8% less for their MBA than the survey's average.
- Females pay an average of 6.4% more for their MBA than the survey's average.
- Of the 343 surveys collected, three students identified as nonbinary/third gender and paid 23.7% more for their MBA than the survey's average.
Popular Online Programs
Learn about start dates, transferring credits, availability of financial aid, and more by contacting the universities below.
Survey Responses From 343 MBA Students
In 2021, we surveyed 343 MBA students to learn how certain factors can influence MBA cost. Our findings reveal that a student's characteristics and background may also affect the price. Read our detailed findings below.
| Answer | Total | Avg. Cost | +/- Avg | % Diff |
|---|---|---|---|---|
| On Campus | 41 | $39,050 | +$5,350 | +15.9% |
| Online | 107 | $29,040 | -$4,660 | -13.8% |
| Hybrid (less than 50% in person) | 106 | $41,610 | +$7,920 | +23.5% |
| Mostly online | 89 | $27,400 | -$6,290 | -18.7% |
| Ethnicity | Total Students | Avg. Spent on MBA | Cost vs. Avg. |
|---|---|---|---|
| African American | 29 | $29,230 | -13.3% |
| Asian | 22 | $36,320 | +7.8% |
| White | 260 | $33,780 | +0.2% |
| Latino/a | 19 | $35,210 | +4.5% |
| Multiracial | 2 | $74,000 | +119.6% |
| Undisclosed | 1 | $20,000 | -40.7% |
| Female | Students | Avg. Spent | Cost vs. Avg. |
|---|---|---|---|
| African American | 23 | $40,580 | +20.4% |
| Asian | 12 | $24,390 | -27.6% |
| White | 105 | $36,970 | +9.7% |
| Latina | 15 | $42,330 | +25.6% |
| Multiracial | 1 | $28,000 | -16.9% |
| All | 156 | $35,850 | +6.4% |
| Male | Students | Avg. Spent | Cost vs. Avg. |
|---|---|---|---|
| African American | 16 | $36,190 | -7.4% |
| Asian | 10 | $31,200 | -6.7% |
| White | 152 | $31,410 | -6.7% |
| Latino | 4 | $8,500 | -74.8% |
| Multiracial | 1 | $120,000 | +256.1% |
| Undisclosed | 1 | $20,000 | -40.7% |
| All | 184 | $31,740 | -5.81% |
| Nonbinary | Students | Avg. Spent | Cost vs. Avg. |
|---|---|---|---|
| White | 3 | $41,670 | +23.7% |
What Type of MBA Is Most Affordable?
MBA programs provide a broad foundation for students looking to pursue diverse managerial and directorial positions. However, these roles often require industry expertise. For example, an information technology (IT) manager and a human resource director might hold MBAs, but their daily responsibilities differ greatly.
As a result, many schools offer several MBA concentration options that help equip learners with niche skills. Below, we list MBA specializations from least to most expensive based on our survey data.
Information Technology
Information technology MBAs rank as the cheapest -- and one of the most popular -- concentrations. Programs typically combine management concepts and core IT areas like security, information systems development, and infrastructure to prepare students for IT leadership positions.
Forty-eight of the students surveyed chose this MBA concentration and reported an average cost of $20,810. That's nearly $12,900 -- or 38.2% -- less than the overall average cost for all MBAs.
International Business
Companies looking to global markets to unlock growth opportunities need professionals with international business expertise. An MBA in international business can prepare graduates for these roles through classes in global marketing and accounting.
Even though some MBA programs in international business include a foreign residency requirement, the tuition still averages 30.5% (or $10,300) less than the average MBA program. Based on survey data from the 10 students who entered this program, learners can expect to pay about $23,400 for an international business concentration.
Real Estate
Students interested in real estate development, acquisition, or financial analysis might pursue MBA concentrations in real estate. Courses typically cover topics like housing markets, real estate investment strategies, and urban systems.
An MBA in real estate costs about the same as the international business concentration at just $23,500. Two of the students surveyed chose this concentration, and they paid about 30.3% -- or $10,200 -- less than the average MBA learner.
General MBA
This option topped the list as the most sought-after choice, with 84 students completing a general MBA track. The popularity likely stems from the comprehensive curriculum that offers learners a broad skill set ideal for multiple industries.
Students reported an average cost of $30,050 for a general MBA. They pay about $3,650 less than average for this MBA track, making it 10.8% cheaper than the average MBA program.
Healthcare Administration
An MBA in healthcare prepares learners for leadership positions in a very niche field. The curriculum often dives into healthcare delivery systems, technology and operations, and insurance. Students can also explore topics like healthcare policies and economics.
Healthcare administration MBA tuition is closest to the overall average cost of an MBA. The seven students in this concentration reported an average price of $34,860, just $1,160 (or 3.4%) more than the total average.
Human Resources
This MBA track combines core marketing, finance, and organizational behavior topics with specialized human resources courses. Classes might include leadership communication, human resource management, and employment laws. Graduates can pursue management positions in human resources, training and development, or compensation.
Nine of the students surveyed chose an MBA in human resources, and they reported a slightly higher-than-average cost of $36,330. That number is about $2,640 more, or 7.8% higher than the average survey cost of an MBA.
Finance
An MBA in finance expands on the foundational finance courses that most MBA programs include. Classes may cover topics like business valuation, fintech, and portfolio management to prepare graduates for diverse financial leadership positions.
Finance ranks as the second-most popular MBA concentration and costs slightly more than average. The 73 students who entered this concentration reported an average cost of $36,810. That figure totals just $3,110 -- or 9.2% -- more than the survey's average MBA tuition.
Entrepreneurship
MBA programs prepare students for more than just managerial positions. With an MBA in entrepreneurship, learners can gain the skills needed to start and run their own businesses. Classes typically include entrepreneurial management, new venture finances, and franchising.
Our survey included 16 students in this specialization, and their reported tuition rates averaged $37,440. This concentration costs 11.1% -- or $3,740 -- more than the average MBA program.
Management
Nearly 70 of the students surveyed chose the MBA management track, making it another popular concentration. While a general MBA program can prepare learners for managerial positions, a management concentration takes it a step further. Classes often focus on leadership, conflict resolution, and ethics.
Surveyed learners paid an average of $41,610 for an MBA in management. That figure is 23.5% more than the average MBA tuition, or an extra $7,910.
Marketing
An MBA in marketing can prepare students for managerial sales and advertising positions in different industries, such as finance, healthcare, or entertainment. Classes often explore consumer behavior and brand development. Learners may also dive into business analytics and supply chain management.
A marketing concentration costs slightly more than a management track and $8,640 -- or 25.6% -- more than the average MBA degree. The 12 students surveyed who entered this MBA program paid an average of $42,330 in tuition.
Information Security
An MBA in information security integrates digital security topics into the core management curriculum. Students can complete classes in cybersecurity, risk management, and computer forensics.
Information security ranks as the most expensive MBA concentration. Only two students surveyed entered this track, and their average tuition costs totaled $52,500. That's 55.8% more than the average cost. Students can expect to pay nearly $19,000 more than average for this concentration.
Check out our guides to affordable MBA programs:
MBA Graduates Respond: Is an MBA Worth It?
Among the 343 students surveyed in the Affordable Colleges Online study, 70% (256) indicated that their salaries increased. However, 91% (311) of students believed their salary would increase from an MBA. When asked if they would go back and get their MBA again, 87% of respondents said "yes." Explore responses from MBA graduates below.
"I am determined to complete an MBA because I know I am worth 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, white, male, Auburn University
"I'm not sure if I would get an MBA degree. I'm in law enforcement, and I don't need it. If I didn't know I'd end up in law enforcement and was still trying to figure everything out, then I would get an MBA."
–24, African American, male, Louisiana State University
"I learned a lot during my program, but I'm not sure if it was worth it."
–44, Asian, female, Portland State University
Comparing the Cost of Popular MBA Programs
MBA program costs differ among institutions based on factors like school type, prestige, program quality, and length. On top of tuition, you may encounter fees and other expenses, including books and materials, transportation, and facilities fees.
The following table highlights the estimated total program tuition for some of the most popular MBA programs in the country. These cost estimates do not account for any additional student expenses or aid from grants and scholarships.
While upfront costs can help you make a program decision, it's important to consider how each school helps you manage your educational expenses. For example, some schools provide attractive financial aid packages, whereas others offer flexible schedules that allow you to maintain employment while enrolled.
| School | Institution Type | Delivery Format | Program Length | Estimated Total Tuition |
|---|---|---|---|---|
| Columbia University | Private, nonprofit | In person | 2 years, full time | $176,600 |
| Duke University | Private, nonprofit | In person | 2 years, full time | $155,850 |
| Harvard University | Private, nonprofit | In person | 2 years, full time | $152,820 |
| Northwestern University | Private, nonprofit | In person | 1.25-5 years, part time | $166,542 |
| Stanford University | Private, nonprofit | In person | 2 years, full time | $164,910 |
| Texas A&M University | Public | Online | 16 months, full time | $88,101 (resident), $$114,635 (non-resident) |
| University of California, Los Angeles | Public | In person or hybrid | 27+ months, part time | $139,200 |
| University of Chicago | Private, nonprofit | In person | 2.5+ years, part time | $168,400 |
| University of North Carolina at Chapel Hill | Public | Online | 18+ months, full time | $125,589 |
| University of Pennsylvania | Private, nonprofit | In person | 20 months, full time | $168,660 |
| Yale University | Private, nonprofit | In person | 2 years, full time | $169,800 |
Paying for Your Online MBA
Degree-seekers can cover their MBA costs in many ways, including scholarships and loans. According to our survey, students paid for their MBA in the following ways:
- 73% personally financed their MBA
- 32% received grants or financial aid
- 6% say their employer paid 100% of the cost
- 21% say their employer paid a portion of the cost
- 2% paid for their MBA in a different way
-
Federal and State Grants
Students can complete the Free Application for Federal Student Aid (FAFSA) to learn about their eligibility for federal and state grants. However, some grants include employment requirements post-graduation. The government typically awards grants on a financial-need basis. States and the federal government provide grants. Learners can renew some grants.
-
Federal and Private Loans
Learners can apply for federal loans by completing the FAFSA. Federal loans come in unsubsidized and subsidized versions. Subsidized loans require financial need. These loans do not start gathering interest until after graduation. Private organizations also offer loans. Before committing to these sources, know that private loans and refinanced loans do not qualify for federal student forgiveness programs.
-
Employer Assistance
Some employers contribute to their employees' education. Employer-assistance programs may cover a portion or all of a degree's cost. Learners may need to commit to working for the organization for a set number of years after graduation.
-
Scholarships
Scholarships provide free money to help cover MBA costs. Schools and private organizations offer scholarships. Students may qualify based on financial need or academic merit. Applicants typically submit essays, official transcripts, and recommendation letters.
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Work Study
Some schools offer work-study opportunities through which participants complete tasks for their schools, with their income applying directly to tuition. Common work-study positions include receptionist and office assistant. Learners can also apply for government-funded work studies by completing FAFSA forms.
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Veteran Benefits
The United States Department of Veterans Affairs (VA) provides education benefits for veterans and their dependents. The VA does so under the GI Bill®. Learners can use these funds for tuition, fees, and books. Some VA funds may apply to housing costs. Veterans receive a set amount of funds to earn degrees.
How to Lower the Cost of Your MBA
Despite rising interest rates and college expenses, students can lower their MBA degree costs through various means. We explain how in this section.
-
Earn an accelerated MBA.
Students who enroll in accelerated MBA degrees may spend less than other learners due to their abbreviated graduation timelines. However, these learners may not have time to work during their studies. As a result, they may need to borrow money to cover living expenses.
-
Attend an in-state public university.
Public schools receive state tax funds to subsidize costs. For this reason, these schools can charge less, especially for in-state students. However, some schools charge all enrollees in-state tuition, regardless of residency.
-
Work while attending school.
Students in part-time MBA programs can often continue working full time. Even full-time students can work part time. They can use their paychecks to pay for living expenses and offset loan balances.
-
Pay student loans while attending school.
Federal loans do not require repayment until after graduation. However, learners should consider making payments while in school. Doing so can help them avoid higher loan payments. Borrowers should prioritize paying off unsubsidized loans with the highest interest rates first, which begin accumulating interest right away.
Frequently Asked Questions About the Cost of MBAs
How much does an MBA cost?
According to our survey results, the average cost of an MBA is about $33,700. However, MBA costs can vary widely depending on factors like institution type, prestige, program length, and format. Scholarships, grants, and employer assistance can help lessen the financial burden of your degree.
Will an MBA increase my salary?
An MBA can significantly increase your salary. According to the 2023 Corporate Recruiters Survey from the Graduate Management Admission Council, the estimated average salary for MBA graduates was $125,000 in 2023 — $50,000 more than the bachelor's graduate estimated average.
How much is a Harvard MBA?
Tuition for an MBA from Harvard costs $76,410 per year, or $152,820 for the full two-year program. When including estimated student and living expenses, the total cost of attendance is upwards of $237,000.
Will companies pay for an MBA?
Some organizations help cover the costs of an MBA for employees looking to enhance their skills. You can learn more about tuition reimbursement or assistance programs by researching a company's professional development opportunities.
How long does an MBA take?
Most MBA programs take about two years to complete full time, but part-time and accelerated programs may be available. Online MBAs tend to offer shorter timelines as you can fit more classes into your schedule.
Survey Methodology
All data was collected between June 14, 2021, and July 3, 2021. Respondents were fielded by Lucid LLC. All 343 respondents were screened by multiple quality checks, including systems like Relevant ID. 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 six years. Respondents are between the ages of 21 and 78. Identifications include 45% female, 54% male, and 1% nonbinary.
Student testimonials have generally been obtained with the offer of compensation for survey completion (e.g., entrance into a gift card drawing). Such testimonials are the opinions of such students. Surveys are designed to avoid influencing such testimonials either positively or negatively. All student respondents were supplied by Lucid LLC.
GI Bill® is a registered trademark of the U.S. Department of Veterans Affairs (VA). More information about education benefits offered by VA is available at the official U.S. government website at https://www.benefits.va.gov/gibill/.
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