How Much Does an MBA Cost? Full Statistics

If you’re considering earning a master’s in business administration (MBA), chances are you’ve got a head for dollars and cents. In this article, we’ll cover the full cost of earning an MBA and how costs differ — sometimes enormously — across different program types.

So let’s get down to business.

According to National Center for Education Statistics (NCES) data, MBA students paid an average of $31,300 a year for an MBA program in 2020.^{Note Reference [1]} That includes:

Keep in mind that most MBA programs take about two years to complete. So, the average MBA program cost a total of roughly $62,600.

On average, online MBA programs are less expensive than in-person programs.

Full-time students may see the most savings in online options compared to in-person programs.

Part-time time students pay less per year than full-time students but are enrolled for longer.

On average, full-time students pay more than twice as much as part-time students on annual tuition, roughly $20,220 versus $9,230 a year.^{Note Reference [5]}

Full-time students may forfeit earnings while in school if they can’t work and attend school full time. However, full-time students earn their degrees faster than part-time students and, theoretically, can sooner compete for higher-paying jobs.

An MBA typically costs more than a general master of art or science. However, it’s less expensive than some master’s programs, like a master of social work or a master of fine arts.

Learn about start dates, transferring credits, availability of financial aid, and more by contacting the universities below.

Prestigious MBA programs, such as those at Ivy League institutions and other top-ranked schools, charge higher-than-average tuition. Top-ranked online programs tend to be more affordable than in-person programs.

The table below shows top-ranked business schools’ most recently posted tuition charges and total cost estimates for single first-year, full-time, in-person MBA students.

Note that MIT’s Sloan School of Management offers a one-year MBA program. So, these figures represent the full program cost.

We collected tuition data from our top-ranked online MBA programs. The average tuition for MBA programs on our top 10 list is $29,000-$39,000, depending on residency status.

MBA programs at public colleges typically cost less than private nonprofit schools.^{Note Reference [6]}

However, you should factor in your financial aid offer from prospective schools. MBA programs at private colleges may offer grants and scholarships that can offset higher costs.

In fact, according to data from NCES:^{Note Reference [6]}

Make sure you take advantage of any financial aid you qualify for. Complete the Free Application for Federal Student Aid (FAFSA) to see if you qualify for federal grants or financial aid from your prospective school.

Like undergraduate students, MBA students can save money by attending public colleges in state.

For example, check out the savings at some of these highly ranked MBA programs at public universities. Tuition and fees for in-state students cost $3,000-$17,000 less than for out-of-state students. Usually, the savings are between $5,000-$9,000.

When looking at MBA costs, it’s important to consider expenses beyond tuition alone. Take the following categories for example.

In 2020, MBA students reported spending an average of $1,030 on required course materials, including textbooks, e-books, technology, supplies, and other materials.^{Note Reference [1]}

Find out if your prospective MBA program requires you to purchase student health insurance. Some programs may waive health insurance fees if you already have insurance through a job. In-person programs may charge a fee for student health services.

According to ApartmentList March 2023 state-level rent estimates, renting an apartment in the U.S. typically costs $1,090-$1,520 a month, or around $13,000-$18,200 a year.^{Note Reference [7]} Depending on where you live, on-campus housing may be more or less expensive.

In addition, you’ll want to consider transportation costs for getting to and from an in-person program and other day-to-day living expenses.

According to the Bureau of Labor Statistics (BLS), the typical bachelor’s degree holder earns nearly $155,300 in two years of working.^{Note Reference [8]} If you leave a job to attend school full time, you’re not just paying for your program, you’re also not earning income.

What students pay for an MBA has increased over the years.

In 2000, MBA students reported paying roughly $5,600 per year in tuition and fees. They paid three times as much in 2020.^{Note Reference [9]}