Cost of an Online MBA Degree
The cost of an online MBA degree depends quite a bit on the online college you have chosen and your area of specialization. To specialize in finance, marketing and business administration, you will pay a lot more; be ready to pay between $8,000 and $90,000 with an average cost in the range of $20,000 to $30,000.
Increase in Tuition
Huge tuition increases are common at every online business school. Although MBA programs have million dollars operating budgets, most online business schools say tuition revenues cover just about half of their yearly expenses, which makes cost-hikes a necessity. Every year, you will find that business schools increase tuition rates by more than five percent. Keep in mind that this does not include books and housing, which can cost you more than $15,000 a year.
Due to the increase in tuition, there is a significant drop in the number of students applying for an online MBA program. The majority of top online business schools are worried that this figure will drop even more if they are not able to convince students that the MBA program is a good investment for their career. The irony for students interested in earning an online MBA degree is that even state schools are also getting costlier, especially with little funding coming from the state and federal governments.
Annual increases are justifiable to some extent, especially when it comes to building renovation and improvement in services. What is not justifiable is the presence of excess staff and retaining additional costly faculty. When schools take on notable faculty despite their demand for high salaries, they often find that they do not teach much better than their typical faculty, in some cases they only takes four or five classes per year. To reduce the cost of an online MBA degree, online business schools need to work on their finances. For students interested in earning an online degree, it is quite important to only take admission in an accredited online university. By successfully earning an MBA degree from an accredited university, you can give your career a tremendous boost.