Is an MBA Worth It? 2025 Guide

If you want to advance your business career, pursuing a Master of Business Administration (MBA) degree is typically seen as a worthy investment. The long-term benefits of earning the degree—including salary gains and career advancement opportunities—often outweigh the degree programme's immediate financial and time costs.

Many corporate recruiters consider an MBA degree an asset along with potential financial benefits because of the job skills that degree holders commonly possess. An MBA programme can also set you up with lucrative networking opportunities and business contacts via your university’s career placement programmes, classmates, and alumni.

That being said, some factors make some MBA programmes more worth the investment than others. Discover how to conduct a cost/benefit analysis to determine whether getting your MBA can offer the return on investment you’re looking for.

Benefits of earning an MBA

Having an MBA can be a respectable credential to add to your resume, signalling a high-value skill set that many hiring managers look for in employees. Additionally, MBA programmes offer unique career and networking resources reserved for students and space for building beneficial long-term relationships.

Salary and job outlook

Earning your MBA can qualify you for higher salaries and more job opportunities. The MBA is one of the most in-demand postgraduate management programme and is sought after by employers looking for candidates with specialist business knowledge. According to Statista, MBA graduates in India had an employability rate of 71 percent in 2024 based on their skill set, up from 41 percent in 2021 [1]. 

The salary you can expect and the job opportunities available depend partly on the course and specialism you choose. Financial positions following an MBA often have high pay. Additionally, with rapid technological advances, employers are increasingly seeking candidates with technical knowledge, which you can gain with a specialism in information technology. According to Payscale, the average base salary for an MBA graduate in India is ₹9,93,000 [2].

Your anticipated post-MBA starting salary can also fluctuate based on industry, location, and years of experience. Learn more about MBA salaries to understand your earning potential better.

In-demand skills

Because of the rigorous coursework typical of many MBA programmes, employers often recognise a common set of transferable skills that graduates acquire through their higher education experience.

Some top value skills employers look for in MBA graduates include:

• Interpersonal and communication skills

• Leadership and management

• Strategic thinking

• Time management 

• Critical thinking

To many employers, an MBA degree validates that you possess these desired skills and can apply them to succeed in higher-level business positions.

Career resources and networking opportunities

MBA faculty and staff invest in their students' success. Your success will hopefully help attract future students with similar potential to succeed, whether that’s through positive employment reports or reflected in their programme ranking. As such, many programmes incorporate career resources and networking opportunities into their offerings.

These services, such as on-campus recruitment fairs or mentoring, can lead to more lucrative career options. Similarly, MBA programmes with strong alumni networks may offer direct points of contact within companies hiring worldwide.

Relationship building

The relationships you build while pursuing your MBA are crucial. Many MBA programmes offer connections with alumni, providing opportunities for mentoring, support, and job placements.

Furthermore, most MBA admissions offices populate incoming classes with diverse students who can offer a range of business perspectives. To capture that co-learning opportunity, many programmes incorporate group projects into the curriculum alongside discussion-based classes. You may also choose to engage in study groups or extracurricular activities.

Typical MBA degree cost

Alongside the benefits of getting an MBA degree, you should consider some notable costs. Getting your MBA degree will require time, money, and energy. Whether the benefits outweigh those costs depends on your circumstances and career goals.

Time commitment

How long it takes you to get your MBA will depend on the type of programme you enroll in. A traditional full-time MBA programme usually takes about two years to complete, and though attending part-time can increase that time, accelerated options can decrease your time commitment. Some programmes also allow flexibility for students to work full-time while taking classes outside of normal business hours.

Tuition

MBA tuition can range from ₹2,00,000 to ₹35,00,000 depending on where you study and whether you choose a full-time, part-time, or online programme. The cost of an MBA course is a sizable investment, so it’s important to consider the costs and whether you will get a good return on your investment. You can use savings, scholarships, and loans to help ease your financial commitment. 

Institutions with the lowest fees offer a good return on investment. However, highly rated universities with higher fees also boast higher salaries. It’s important to consider that it may take anywhere from 18 months to several years to recuperate the cost of your MBA, depending on various factors.

MBA return on investment (ROI)

One way to understand whether an MBA degree will be financially worth it for you is to calculate your return on investment (ROI). This compares your long-term potential gains to your short-term investment costs. Remember that this calculation only deals with the financial benefits of an MBA, as you can’t put a price on the educational and relational benefits of the degree.

Steps to measure your MBA ROI:

• As a first step, note your current salary if you’re employed.

• Next, identify the total cost of your desired MBA programme, which includes tuition fees and other anticipated expenses.

• Calculate your opportunity cost (salary you will miss out on while pursuing your MBA + programme expenses). 

• Finally, estimate your post-MBA salary by comparing figures from various job postings and business school websites.

The ROI is favourable if you discover you can quickly recover the opportunity cost and tuition expenses with your expected salary after completing your MBA.

Do more expensive programmes lead to better-paying jobs?

MBA programmes are becoming increasingly popular, and for a good reason. Employability among graduates continues to grow in India [1]. With this in mind, an MBA from a top university, even though often more expensive, can help you stand out and give you access to facilities and connections that can support you in excelling in your career.  However, it’s worth noting that students who attend high-tuition programmes may end up with low-paying jobs, and students who attend low-tuition programmes may end up with high-paying jobs.

When is an MBA worth it?

An MBA is generally considered a worthy investment for most people with a business career; however, people pursue this level of education at different points in their careers. For this reason, you won’t find a standard “right” time to pursue an MBA—only the right time for you, and that’s when an MBA will be most worth it.

To decide whether an MBA might be worth pursuing, consider your current financial position, growth path towards your goals, and how quickly you hope to advance in your career.

Is an online MBA worth it?

If you want a more flexible way to pursue your MBA, you may be interested in an online programme. Online MBAs offer the same education as their in-person counterparts but allow you to learn from anywhere with an internet connection. Oftentimes, online MBAs are also less expensive than on-campus options. 

Continuing your business education with Coursera

An MBA is a well-regarded postgraduate qualification. Many employers look at it favourably, so it can be valuable if you want to progress in your business or management career. If now is the right time to continue your business education, consider the MBA in Business Analytics, delivered by O.P. Jindal Global University on Coursera. This programme offers you the flexibility to learn from anywhere with an internet connection at a breakthrough price. If you have a business career already, consider studying for an Executive MBA online, delivered by IIT Roorkee.