Thinking about getting an MBA in 2025 but unsure if it’s worth it?
A few years ago, Elon Musk—the world’s richest man and founder of Tesla and SpaceX—called MBAs “overrated”. If one of history’s greatest business minds questions their value, should you even consider one?
With tuition costs soaring and alternative career paths gaining traction, more professionals than ever are rethinking whether an MBA is the right investment. The short answer? If you’re targeting high-paying fields like consulting or finance, an MBA often delivers strong ROI. But for tech, entrepreneurship, or other industries, alternative education paths may provide better value.
So, is an MBA still worth it in 2025? Let’s break down the real ROI, costs, and career impact to help you decide.
The Current State of MBAs
Over the last decade, the number of accredited business schools offering fully online MBA programs surged by 54% between 2012–2017 and another 85% between 2017–2022. This reflects a significant shift in how prospective students approach higher education. Instead of being dead set on top-tier programs, students now prioritize flexibility, affordability, and real-world value—a trend that has led to online MBA enrollments surpassing full-time, in-person programs in 2021.
But what does this mean for MBAs? The increase in programs has made advanced business education more accessible, leading to a rise in MBA graduates. So, why are more people pursuing MBAs than ever before?
The truth lies in the money! On average, MBA graduates see a salary increase of 9% to 35% compared to their pre-MBA earnings—and in some industries, that jump can reach 80% to 100%!
But the benefits of an MBA go beyond just salary. Students immerse themselves in a network of like-minded, driven professionals who are shaping the future of business. This network can open doors to job opportunities, mentorships, and lifelong professional connections, making an MBA not just an educational investment, but a long-term career accelerator.
The Costs of an MBA
Nothing good in life comes cheap, and an MBA is no exception.
For a Top 10 MBA program, tuition alone typically ranges from $70,000 to $80,000 per year. But that’s just the beginning. When factoring in housing, supplies, and hidden costs, the total annual expense can climb another $15,000 to $20,000—bringing the total cost well over six figures.
For a mid-tier MBA program, costs are slightly lower but still significant. Tuition generally falls between $50,000 and $70,000 per year, with additional expenses adding another $15,000 to $20,000.
Lastly, online MBA programs offer a more affordable option, with tuition typically ranging from $20,000 to $40,000. While additional costs vary, a conservative estimate of $5,000 to $10,000 accounts for materials, tech requirements, and occasional in-person residencies.
Regardless of the program, an MBA is a major financial commitment. So, is the cost justified by the potential salary boost and career opportunities? Let’s break it down.
MBA ROI
Many MBA programs claim their graduates see a 50% salary increase post-MBA—and for some, that’s absolutely true. The boost often comes from a major promotion at their current company or a high-paying job that specifically requires an MBA.
Take finance and consulting, for example. These industries still treat an MBA as a must-have for senior roles, and the payoff is huge. Salaries can jump by 70-80% overnight. Over a 30-year career, that can translate to an extra $2 million to $3 million compared to those without an MBA.
Of course, not every industry values MBAs the same way. If you’re in tech, startups, or creative fields, an MBA might not be the game-changer it once was. But in careers where advanced business knowledge and networking are essential, the ROI can be undeniable.
The Verdict: Is an MBA Worth It?
The decision to pursue an MBA ultimately depends on your career goals, industry, and financial situation. For professionals aiming to break into high-paying fields like consulting, investment banking, and corporate leadership, an MBA remains a valuable credential that can fast-track career progression and significantly boost lifetime earnings. In these industries, the return on investment (ROI) is often well worth the cost.
However, for those in tech, startups, or creative fields, the traditional MBA path may not be as essential. Alternative education paths—such as certifications, online courses, networking, and real-world experience—can often provide similar benefits at a fraction of the cost.
The rise of online MBA programs has made business education more accessible and affordable, allowing students to gain advanced knowledge without stepping away from their careers. At the same time, the market for MBA graduates is becoming more competitive, making it crucial to choose the right program and have a clear strategy for leveraging the degree.
Final Thoughts
An MBA isn’t a magic bullet—but for the right person, it can be a powerful accelerator. If you want structured learning, a strong network, and the credentials to land a six-figure job in finance or consulting, an MBA could be a smart investment.
But if you’re an entrepreneur, a tech professional, or someone who thrives on self-learning, ask yourself: Do I really need the degree? Some of today’s most successful business leaders skipped the MBA route entirely and built their careers through hands-on experience, networking, and alternative education.
At the end of the day, the decision isn’t just about cost vs. salary—it’s about what you actually want from your career. Do the research, weigh your options, and choose the path that aligns with your goals.
