Paying for any graduate degree can be tricky—especially while trying to balance tough coursework with home life and an intense career. That’s why many business students enroll in part-time MBA programs: to give added flexibility and affordability.
The cost of a part-time MBA is an important part of the puzzle when deciding where to attend school because while they are broadly less expensive than full-time MBA experiences, part-time MBA programs average around $70,000 in tuition alone. Luckily, students are often able to continue working full-time, and thus, have an income that can help support their degree financially. This can make a large difference in one’s post-graduation experience as the burden of student loan debt may be less. Plus, employers are often part of the financial equation via reimbursement and MBA sponsorship programs.
As one weighs a part-time MBA, these are some of the things to consider and ways to get additional funding, to pay for a part-time MBA program.
Program costs matter
While your sights may be set on attending a top-ranked part-time MBA program, it is important to consider the prices, as there can be a large variability from school to school. For example, at NYU (Stern)—the No. 6 best part-time MBA program—tuition alone costs students $170,000. Just down the road at Pace University, home to the No. 44 best program, tuition is closer to $60,000.
When looking at prices, research the cost per credit as well as the number of credits required to graduate. Many schools organize their courses on different scales, meaning more than 30 credits or units may be needed. NYU, again as an example, requires 60 credits to graduate whereas Pace requires 39.
Moreover, also consider the format of school programming. Part-time programs that are mostly online or hybrid may be broadly less expensive as compared to more in-person learning experiences. At the same time, factoring in the price of commuting to campus is also something to consider.
Finally, also know what you are paying for—as the price may include more than just tuition. At the University of Texas–Austin (McCombs), for instance, the $130,000 price tag also covers part of a global residency and certain meals for its weekend program.
Ways to pay for a part-time MBA program
While some individuals may be able to use their own savings or family assistance to get their graduate business education, a majority of MBA holders have student loan debt, with the average amount between $60,000 to $80,000, according to the Education Data Initiative.
As a result, every little bit helps when trying to find funding sources for a part-time MBA program.
Scholarships
Applying early is paramount to maximizing scholarship potential. While most programs have funding allocated each year to give to prospective students, and no additional paperwork is required besides a completed application, the scholarships are not enough to go around for everyone.
At the University of Georgia (Terry), scholarships are awarded based on merit (undergraduate GPA and test scores) or employment in the non-profit or government sectors. The school, like others, utilizes Scholarship Universe, a platform that connects students with both institutional and outside scholarship opportunities.
UT–Austin (McCombs)’s MBA for working professionals, $10,000 scholarships are available to 36 students each year, split evenly across each semester of the program, according to Joe Stephens, a senior assistant dean at the school. Students are similarly automatically considered for these admissions scholarships, which are awarded based on merit and need.
For scholarships that are not open to everyone—like ones designed for specific demographic groups—be sure to take advantage and apply. Some scholarships may be a lot less competitive than you may expect.
Local organizations are also a great place to find scholarships for business students, such as chambers of commerce and business partnership organizations.
Scholarships do require research and additional work, but even if you only receive an additional $1,000—that can make a big difference in the long term. Finally, don’t forget that scholarships can be granted at any time as a student, not just during the application process.
Loans
In order to qualify for federal student loans, individuals must complete the Free Application for Federal Student Aid (FAFSA). Loans for graduate students through the federal government are not eligible to be subsidized, meaning no matter what, interest will accrue.
While federal loans tend to be better for students, you should explore your options as your work history can be a benefit to securing a private loan. To get an idea of how you might repay loans, the federal government has a loan simulator that you might want to try.
In some instances, Stephens says he has seen a willingness for employers to help graduates pay off their student loans in the form of a signing bonus.
Employer assistance
Bigger companies tend to have tuition assistance programs in the form of reimbursement, but many limit it to just $5,250 per year—the limit the IRS sets for tax-free reimbursement.
Full MBA sponsorship is less popular today than it was many years ago, Stephen says. However, companies may still have partnerships with local universities to facilitate growth opportunities.
Be sure to research your company’s policies—not only to see if they will provide financial assistance but also to see if they will provide any time off for exams or immersive experiences. Make sure you also find the right person to ask, as some companies may not advertise their education benefits to everyone, but there still may be opportunities for you to take advantage of.
Military funding
Members of the military (and sometimes members of their families) are eligible for tuition reimbursement through government programs included in the Post 9/11 GI Bill. As of fall 2024, net tuition and mandatory fees will be covered up to about $29,000 per academic year at private institutions; full net tuition and fees will be covered from public schools.
The takeaway: hard work pays off
The cost that comes with a part-time MBA is one of the biggest burdens for many students, but for the most motivated candidates, it is certainly possible to balance work and school—without taking on debilitating student loan debt.
Applying early to programs to qualify for institutional scholarships, finding and applying for outside scholarships, and when necessary, making smart student loan decisions are all part of the equation to appropriately pay for a part-time MBA.
Ultimately, if you know an MBA is a dream of yours in the future, start saving money as soon as possible. The rewards on the other side are largely positive like faster career progression and higher-paying salaries.
Frequently asked questions
Is a part-time MBA more expensive than full-time?
No, a part-time MBA is generally cheaper than a full-time MBA. While it depends on the school, a full-time MBA could be double the price in tuition alone.
See how the schools you’re considering landed in Fortune’s rankings of the best part-time, executive, full-time, and online MBA programs.
Nicole Gull McElroy contributed to this piece.
Is a part-time MBA worth the time and money?
Yes, a part-time MBA can be worth the time and money due to the career advancement opportunities, which translate to higher salaries down the line.
Is a part-time MBA more expensive than full-time?
No, a part-time MBA is generally cheaper than a full-time MBA. While it depends on the school, a full-time MBA could be double the price in tuition alone.
See how the schools you’re considering landed in Fortune’s rankings of the best part-time, executive, full-time, and online MBA programs.
Nicole Gull McElroy contributed to this piece.
How do people pay for a part-time MBA?
Students rely heavily on loans, scholarships, and employer assistance to pay for part-time MBAs. Because programs can cost over $100,000, relying on one category alone, such as scholarship, will largely not cut it. Students must be resourceful.
Is a part-time MBA worth the time and money?
Yes, a part-time MBA can be worth the time and money due to the career advancement opportunities, which translate to higher salaries down the line.
Is a part-time MBA more expensive than full-time?
No, a part-time MBA is generally cheaper than a full-time MBA. While it depends on the school, a full-time MBA could be double the price in tuition alone.
See how the schools you’re considering landed in Fortune’s rankings of the best part-time, executive, full-time, and online MBA programs.
Nicole Gull McElroy contributed to this piece.
