MBA Salary

If everything works out fine, you should get one or more job offers. It is now time to negotiate and make a decision. Be very careful – most employers do not expect MBA students to negotiate. Try to focus your negotiation on issues other than compensation (like starting date, location, and such).

These were the highest paid MBAs in 2015

One MBA graduate last year struck gold to the tune of a $467,000 payday. Others, meanwhile, had a much harder time establishing financial footing. Those figures are according to a Poets & Quants report compiling the highest and lowest base salaries of 2015 MBA graduates, based on business school employment records. The highest reported MBA starting compensation came in at a whopping $467,000, more than 50 percent higher than the next highest base salary last year. The sum went to a private equity employee who graduated from Columbia Business School, whose graduates last year saw a median salary of $125,000. Another Columbia graduate took a $320,000 per year starting salary in consumer products. Meanwhile, a Stanford MBA saw the lowest reported compensation. The graduate had a base salary of $18,000 at a non-profit organization in Europe, according to Poets & Quants. Last year’s Stanford graduates working in non-profits enjoyed median starting salaries of $100,000. The Wharton School at the University of Pennsylvania, meanwhile, reported a graduate with a low compensation of $24,000. Stanford MBA graduates earning the highest salaries were most commonly employed in hedge funds, private equity, health care, investment management, and venture capital, according to the report. On the opposite side of the spectrum, “social impact” industries, like non-profits and government work, were the most common industries among the lowest reported salaries. Though many schools reported these earning profiles, the numbers can be considered a conservative estimate due to the fact that schools attempt to protect the privacy of their graduates and prevent inflating applicants’ expectations.Read full story:...

MBA programmes that yield the best salaries

One major component of Business Insider’s ranking is the average starting salary. Looking at this exclusively, you can filter out the business schools that yield the best salaries after graduation. Among the 50 leading schools, students from 22 schools went on achieving base salaries over 100,000 US-Dollar. Although Stanford placed fourth on the overall list, its graduates earn the highest starting salaries of all the schools, averaging more than 133,000 US-Dollar. Other high achievers like Harvard and Wharton fared well as well. Harvard graduates earn an average of more than 131,000 US-Dollar after school and Wharton graduates average on more than 127,000 US-Dollar, though Wharton’s tuition cost also amounts to 144,340 US-Dollar. The Wharton School topped the Business Insider ranking overall in 2015 for all-around excellence (see article above). Wharton’s salary expectation is similar to Columbia Business School’s as well as Sloan School of Management’s and the Booth School of Business’s. Graduates of Dartmouth’s Tuck School of Business follow with an average starting salary of 123,900 US-Dollar. Amongst the 22 schools are many more well-known schools like the Anderson School of Management, the Fuqua School of Business, Yale School of Management, London Business School, Darden Business School, the Booth School of Business or the Kellogg School of Management. But other not as well-known universities do well in the salary category as well. Graduates from the Foster School of Business, the Jones Graduate School of Business or the McCombs School of Business also break the ranks of the 100,000 US-Dollarfor example. Read full story: MBA...

Morgan Stanley pays MBAs the most

Business school is a profitable investment for almost anyone, but some MBAs are getting more dollar value out of their degrees than others. MBAs who worked in financial services several years out of school earned more than their peers in every other industry, and the best paychecks overall were doled out by investment banking firm Morgan Stanley, a Bloomberg survey of thousands of B-School alumni showed. Bloomberg News reports that as part of our annual ranking of business schools, Bloomberg surveyed 12,773 professionals six to eight years after they graduated from business school. The MBAs who work at Morgan Stanley took home the largest compensation packages, followed closely by alums at Goldman Sachs. Bloomberg asked alumni who graduated from 2007 through 2009 about their current employer, base salary, and bonus. To figure out who pays the most, we focused on companies where we polled at least 20 MBAs. Graduates working in finance – which includes people in accounting and banking – took home a median $210,000. Read full story:...

The Companies That Pay MBAs the Most

Business school is a profitable investment for almost anyone, but some MBAs are getting more dollar value out of their degrees than others. MBAs who worked in financial services several years out of school earned more than their peers in every other industry, and the best paychecks overall were doled out by investment banking firm Morgan Stanley, a Bloomberg survey of thousands of B-School alumni showed. As part of our annual ranking of business schools, Bloomberg surveyed 12,773 professionals six to eight years after they graduated from business school. The MBAs who work at Morgan Stanley took home the largest compensation packages, followed closely by alums at Goldman Sachs. We asked alumni who graduated from 2007 through 2009 about their current employer, base salary, and bonus. To figure out who pays the most, we focused on companies where we polled at least 20 MBAs. Graduates working in finance–which includes people in accounting and banking–took home a median $210,000. Real estate and energy were the next most lucrative industries. Perhaps the unlikeliest leader of the pack was agriculture, where MBAs made a median of $180,000—as much as they earned in consulting. (About 46 percent of the alumni we surveyed went into finance, tech, or consulting, while 8.5 percent worked in energy, real estate, or agriculture.) The companies that paid MBAs the most hailed mainly from the professions that have long been catnip for MBAs. Five of the 10 companies that paid MBAs the most were financial businesses and three were consulting firms. The only Silicon Valley representatives that made their way into the top 10 were Google and Apple. Even at those tech giants, MBAs earned 36 percent less than their peers at Morgan Stanley, mainly because they hauled in...

Boost to earnings from MBAs falls

The MBA degree, once seen as the quickest route to a fat salary, no longer delivers quite the financial fillip it once did. In spite of a return to economic growth, the financial returns from completing a full-time MBA have fallen over the past three years and while a graduate can still expect to nearly double their salary, the average boost to earnings is down by almost a third from the qualification’s heyday. This is particularly true in the US, home to 50 of the world’s top 100 business schools, where there is growing disaffection with the qualification on the part of both employers and potential students. Since the financial crash of 2008, many would-be MBAs have been reluctant to give up a secure job in order to go to business school, which frequently costs well over a hundred thousand dollars in terms of fees, living costs and lost salary. Many believe the returns no longer justify the investment. The result has been that while the top few business schools go from strength to strength — Stanford Graduate School of Business in California, for example, admits just 6.5 per cent of applicants — those lower down the rankings, with fewer resources, are floundering. “Students say that if they can get into a top school they will go. If not, they won’t,” says Garth Saloner, dean of Stanford, ranked fourth in the world this year, behind Harvard Business School, London Business School and the Wharton school at the University of Pennsylvania. The past year has already seen several second-tier schools close down their full-time programmes as application numbers dwindle. More are expected to follow, says Alison Davis-Blake, dean of Michigan Ross business school, as programmes become economically unviable. “The segment...

The MBA degree and the astronomical rise in CEO pay...

Companies’ top-ranks are filled with talent from similar educational backgrounds. Uniform thinking could be playing a part in the massive CEO pay gains over the past few decades. During most MBA programs, business school students read numerous case studies, evaluating the strategies of many different kinds of companies, analyzing the cost of bringing new product lines to market and novel methods to cut expenses. You would think that, after all that training, MBA grads would be the perfect candidates to halt the runaway growth of CEO pay. But, in an ironic twist, could the rising number of MBAs be pushing the perceived value of a CEO ever higher? The MBA degree’s growth in popularity is one of the few trends in the business world that matches the extraordinary growth in executive pay. According to the most recent data, from the 2011-2012 graduating class, MBA students accounted for 25% of the total master’s handed out, with 191,571 students receiving the degree. Education and computer science/engineering students came in second and third, with 178,062 and 66,014 degree recipients, respectively. The MBA has grown in popularity for years. In fact, the number of MBAs issued has jumped 623% since 1970; education master’s degrees increased 103% during that time…Read full story:...

The best and worst MBA courses if you want a giant salary...

An MBA is not just about getting paid. It’s also about pushing your learning curve, widening your networking parameters and leveraging up some love among the case studies. But money is part of an MBA – why else would you fork out tens of thousands in tuition fees and living expenses if you weren’t expecting to to earn a lot of money at the end of it. If money is indeed part of your MBA decision matrix, the Financial Times’ new ranking of European Business Schools should come in helpful. It clarifies which MBA courses will transform your earning power and which won’t. If you want to earn more than $140k (£89k) after you graduate, there are only six elite schools in Europe to choose between. They are: London Business School ($157k), INSEAD ($148k), IE Business School ($147k), Judge Business School at the University of Cambridge ($144k), Iese Business School in Spain ($143k) and IMD Business School in Switzerland ($142k). Conversely, if you’re not too bothered about earning money at the end of your MBA, you might want to try University of Liverpool Management School, where you’ll earn $57.8k upon graduation. Or there’s Neoma Business School in Rouen, where the average graduating MBA salary is $64.4k. Or Politecnico di Milano School of Management – average starting salary $67k. The silver lining is that the MBA courses which don’t generate giant incomes upon graduation are priced accordingly. At Neoma, the MBA costs a mere €30.5k ($38k), while a Liverpool MBA costs a mere £13k (£20.5k). This compares to fees of £64k at the London Business School ($100k) and €62.5k ($78k) at INSEAD…Read full story:...

Highest paid graduating MBA ever? $1.8 million...

Talk about a return on investment. A graduate of the MBA program at the Sloan school at the Massachusetts Institute of Technology will earn $1.8 million in total compensation in the first year out of school, according to a post on the business education website Poets & Quants, which pulled the number from Bloomberg BusinessWeek’s annual B-school rankings. A spokesman for Sloan told the website that the figure could be accurate, but would not fully confirm it. “It’s $1,825,000, about 11 times the highest reported $165,000 base salary at Sloan last year,” said Poets & Quants. “And it’s not even at a hedge fund or private equity firm, these days the organizations that offer the most lucrative MBA jobs in the market. It is for an unnamed real estate company. If the self-reported number is true, it would in all likelihood be the highest first-year comp for an MBA graduate ever. The number was supplied by a graduating MBA who completed the (Bloomberg BusinessWeek) magazine’s ranking survey.”Read full story:...

The Online MBA Salary Blues

If the Kelley Direct online MBA program is any guide, graduates of Kenan-Flagler’s new MBA@UNC program shouldn’t expect a salary windfall The rap against online MBA programs has always been that the benefits, in terms of career advancement, can’t compare to those enjoyed by students in full-time MBA programs. Critics of online programs say that recruiters consider the programs educationally inferior and that as a result, the job offers, salaries, and other benefits that derive from the programs are smaller. Most online MBA programs offered by top business schools cost less than the institutions’ full-time programs, so a salary at graduation that’s a few thousand dollars less is not the end of the world. But all this changed in November, when the University of North Carolina Kenan-Flagler Business School announced MBA@UNC, an online program with an unquestionably full-time MBA price of $89,000, Can an online program, even one offered by a top-ranked business school such as Kenan-Flagler, ever prove a bargain at that price? What can the inaugural class of 19 students in the MBA@UNC program expect when they graduate in two years and begin looking for jobs? Predicting is always dicey, especially when it comes to MBA salaries, which are influenced by the fates of national and regional economies, industries, and even the fortunes of specific companies. But information can be gleaned from online MBA programs with a bit more track record. WEB PIONEER: INDIANA’S KELLEY DIRECT Consider the Kelley Direct online MBA program at Indiana University’s Kelley School of Business. Launched in 1999, it has graduated nearly 1,300 MBAs, making it one of the longest-running online MBA programs offered by a top-ranked business school. The schools’ full-time MBA programs are comparably ranked: Sixteen for UNC and 19...

For MBAs, Breaking Even is a More Distant Dream...

Higher tuition and lower starting salaries mean it now takes MBAs nearly a year longer to earn back their B-school investment than it did in 2008 The hits just keep coming for the MBA Class of 2010. First, the economy crashed just as students were stepping into their first B-school classes. Then the job market tanked. Jobs were scarce, salaries dipped, and students scrambled simply to find summer internships, let alone full-time positions. Now, a new study done as part of Bloomberg Businessweek’s ranking of top full-time MBA programs suggests it’s going to take graduates longer to see a return on their MBA investments than their peers did from earlier graduating classes. Two years ago, Bloomberg Businessweek calculated that it would take members of the MBA Class of 2008 an average of 5.6 years to recoup their MBA investment. For the Class of 2010, the number jumped to 6.5 years. Why the difference? First, post-MBA salaries were lower in 2010 (down 6 percent from the 2008 average), while pre-MBA salaries were higher, meaning the pay differential between what a grad made before and after earning the degree was not as large. In addition, the overall cost of attending B-school increased, putting the Class of 2010 in a less-than-ideal climate to begin earning a return. The MBA ROI figure was calculated using a few different data points. First, the total dollar amount the average student spends on a degree (tuition, fees, living expenses) was added to the total salary given up to attend B-school. The median pre-MBA salary was then subtracted from the median post-MBA salary, and the difference was divided into the total amount spent on the MBA. The resulting number represents the length of time, in years, it...

MBA Pay: A Crystal Ball

Exclusive new research shows how much graduates of top business schools earn over the course of their careers What’s your MBA really worth? Well, a lot depends on what you mean. In their marketing materials, elite business schools focus on starting salaries, which can be quite impressive. But what about 5, 10, even 20 years out? For a long time, that’s been terra incognita”a no-man’s-land of guesswork and supposition. Not anymore. New research commissioned by BusinessWeek suggests that when it comes to the post-MBA earnings accrued by graduates of top business schools over the span of their careers, not all schools are created equal. Some schools that start out strong with six-figure salaries sometimes sputter and stall, leaving grads with less-than-impressive salaries after 20 years in the workforce. And some schools where grads earn modest salaries out of the gate end up with the strongest of finishes, in some cases doubling their cash compensation after 20 years and overtaking better-ranked rivals. (See our interactive table MBA Pay Through the Years at 45 Top Programs.) The research comes from PayScale, which collects salary data from individuals through online pay comparison tools. BusinessWeek asked PayScale to dig into its database of 80,000 graduates of 45 top MBA programs and calculate their median cash compensation”salaries and bonuses”during the first five years of their careers and after they have an average of 5, 10, 15, and 20 years under their belts. BusinessWeek then used that data to calculate an estimate of median cash earnings over the entire 20-year span. The data suffer from some inherent limitations”it doesn’t include stock or options, and the pay data for some smaller schools at the 20-year mark may be based on fewer than 100 pay reports. It...

The Salary Interview Question

“What salary are you looking for?” Career advisors say this is the interview question that makes job applicants squirm in their chairs. The Salary Interview Question “What salary are you looking for?” Career advisors say this is the interview question that makes job applicants squirm in their chairs. Small wonder. Most of us aren’t comfortable talking about incomes. We have been taught it’s not polite to ask people how much they paid for something or how much money they make. But in a job interview, it can be a make or break question. You need to cut the best deal you can without sounding too greedy or pricing yourself out of the market. So what do you say? Career advisors suggest that you try to get the interviewer to give you an idea of the salary range the company would consider before you commit yourself. Having tried this myself, I’m not sure I agree. The problem is that it’s in the company’s interest to get you as cheaply as possible, so if you are given a range, it’s likely to be on the low side. Unless companies are in a bidding war over your unique credentials, the interviewer will not worry about setting a range too low to interest you. After all, if you find the salary unattractive, you’ll be expected to make the case for a higher one, and if the company can’t agree to your salary demands there are other qualified applicants who might come in lower. The need to ask for more than has been offered puts you on the defensive, a position that leaves many job- seekers uncomfortable. If you are one of those, then state your own salary expectations before you ask for the...