An MBA degree will lead to an increase in salary

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Whether in person or via an online MBA program, studying a Master of Business Administration (MBA) is a momentous step for aspiring business leaders.

Designed to develop the skills required for business and entrepreneurial success, an MBA can help graduates achieve their greatest career ambitions, including a higher salary.

Many MBA programs take up to two years to complete, and MBA News puts the average cost of fees at $59,966. While that may sound like a lot of time and money, the potential post-MBA salary increases available to graduates make this prestigious degree worth your while. So, how much does an MBA increase salary?

MBA salary increases

There’s no doubt about the link between postgraduate study and the highest-earning jobs in Australia. The 2020 Graduate Outcomes Survey by the Department of Education and Training found undergraduates employed full-time earn a median salary of $64,000, compared to $98,000 earned by those with postgraduate degrees. Postgraduate qualifications continue to result in higher salary outcomes, with the median postgraduate salary around $23,000 higher than the median for those with an undergraduate degree.


Even though there are many variables that can impact wage growth, it’s still possible to determine average MBA salary increases in Australia. The Financial Times 2016 ranking shows MBA graduates from Australian business schools achieved between a 58% and 72% increase in their salaries three years after graduating, compared to their pre-study income.

Outcomes for MBA graduates are just as impressive on a global scale. The annual FT Global MBA Rankings grades graduate salaries in the three years following completion of the MBA from universities all over the world. For those wondering if an MBA increases salary in a post-COVID world, the 2021 FT ranking found that graduates from top MBA programs achieved average salary increases of more than 100% compared to their pre-MBA salary.


Factors that can influence an MBA salary 

There are a range of factors that can influence your post-MBA starting salary, including your geographic location and industry. However, there are steps you can take to help cement a higher salary during and after your MBA.

Use your MBA as an opportunity to network

Whether your program is in-person or online, networking during your MBA will help build valuable connections that will last long past the conclusion of your studies. Connections forged during your MBA can positively influence your career opportunities and in turn your earning potential.  

Help your current employer see the value in your MBA

Pitching your MBA to your current employer is a powerful way to help them appreciate the value of your postgraduate expertise. By meeting with your boss to explain the hard and soft skills you’re gaining, you might even be able to convince your employer to invest in your MBA


The potential benefits of online MBA programs are limitless

While MBAs can open endless career possibilities, it would be overly optimistic to expect an immediate pay rise upon graduation. This degree gives you the potential to enhance your professional prospects, but a salary increase post-MBA is just one of many components for future success. 

1. Accelerate your progress with an online MBA

To help speed up this process, the accelerated online MBA at Griffith University is designed to develop the skills required for leadership roles. The 12 courses are designed for professionals looking to stretch their business thinking and develop innovative leadership skills. 

Each course takes six weeks to complete, giving you the opportunity to upskill in a new subject area every two months and graduate within two years while studying in your own time. To ensure the relevancy of the coursework, students are graded on practical and authentic assignments. 

2. Achieve an internationally competitive average salary

If you’re still not sure whether studying an MBA is worth the potential salary increase, consider that Australia recently placed in the top 10 countries for MBA wages in a global study by QS: World University Rankings. 

 

MBA degrees will enhance your career beyond the pay rise

As increased salary is just one of many motivations to enrol in an MBA – it’s important to remember the less-tangible returns of MBA careers. If you’re worried about keeping pace with the evolution of your industry, undertaking postgraduate study will help you stay up to speed with the latest advancements in business and management. Better yet, since the degree is offered as an online MBA, you’ll be able to upskill quickly without interrupting your work life. 
 
Attaining formal recognition of your skills and experience is another great reason to study an MBA – this degree is the ultimate reflection of industry expertise, and it will add instant credibility to your work history so you can get the recognition you deserve. You’ll also be able to meet like minded professionals and improve your business network within the interactive learning environment, leading to stronger relationships throughout your industry. 


If you’ve decided postgraduate study is worth the time and money commitment, you can learn more about Griffith’s MBA by booking in a call with an Enrolment Advisor for personalised advice and application guidance.

The benefits of an MBA degree
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