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The High Price of Admission
This year both the costs and benefits of attending B-school surged. For our top 30 schools, tuition and fees alone were up 15% on average, and the pricetag for a Wharton MBA now approaches $90,000, up nearly $20,000 since 2004. Good thing salaries for grads increased, too. New 2006 MBAs could expect first-year paychecks of about $95,000 on average, an increase of 47% from their pre-MBA days and a huge increase over the 29% MBA pay premium that 2004 grads received. But in narrow economic terms, it may not pay to attend one of the top-ranked schools; a midtier school is a better bet. That's because the likes of Wharton and Harvard tend to attract high earners, making it harder to get a big salary bump at graduation and recoup the investment in an MBA. How hard? For Harvard grads, the breakeven point won't come until 2020, or about 20 years shy of retirement.
color=#003366SCHOOLBRIMG height=8 src= http://bwnt.businessweek.com/bwnt_images/bw_1x1.gif">/A td | color=#003366TOTAL COST, $BRIMG height=8 src= http://bwnt.businessweek.com/bwnt_images/bw_1x1.gif">/A td | color=#003366SALARY PREMIUM, $BRIMG height=8 src= http://bwnt.businessweek.com/bwnt_images/down_delta.gif">/A td | color=#003366YEARS TO PAY BACKBRIMG height=8 src= http://bwnt.businessweek.com/bwnt_images/bw_1x1.gif">/A td |
Emory | 225,737 | 42,471 | |
Wisconsin (Madison) | 186,799 | 42,343 | |
Michigan State University | 161,904 | 40,804 | |
Rochester | 199,447 | 38,568 | |
Yale | 245,708 | 38,151 | |
South Carolina (Darla Moore) | 165,283 | 37,675 | |
Notre Dame | 190,241 | 37,652 | |
U. of Washington | 193,626 | 36,795 | |
Washington U. | 205,518 | 36,398 | |
Carnegie Mellon | 251,735 | 36,393 | |
Michigan | 251,437 | 36,371 | |
Maryland | 202,029 | 35,319 | |
Brigham Young | 133,234 | 35,068 | |
NYU | 267,153 | 33,286 | |
Duke | 258,689 | 32,991 | |
Georgetown | 236,903 | 32,058 | |
USC | 240,557 | 32,052 | |
Cornell | 253,543 | 31,940 | |
Rice U. | 230,115 | 31,869 | |
Indiana | 211,064 | 31,797 | |
Ohio State U. | 195,848 | 31,507 | |
UNC | 239,337 | 31,056 | |
UC Irvine | 215,201 | 30,477 | |
Boston University | 214,904 | 29,195 | |
Virginia | 262,517 | 29,098 | |
Chicago | 289,473 | 28,691 | |
Dartmouth | 289,633 | 28,404 | |
Northwestern | 289,054 | 27,182 | |
Vanderbilt | 240,596 | 27,089 | |
UCLA | 258,551 | 26,794 | |
Columbia | 315,780 | 26,610 | |
Wharton | 328,748 | 25,775 | |
Minnesota (Carlson) | 236,680 | 25,321 | |
Texas-Austin | 241,956 | 25,193 | |
Berkeley | 291,805 | 24,239 | |
Harvard | 345,401 | 23,921 | |
Boston College | 215,587 | 23,804 | |
Babson | 236,821 | 23,318 | |
Stanford | 328,062 | 22,351 | |
Buffalo | 109,153 | 21,839 | |
MIT | 324,305 | 21,499 | |
– – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – |