Mba?

guitarman001

Have been toying with the thought of doign an MBA for a few years now... currently just under 30 and probably hitting a ceiling in my profession with near 50k income. Work-life balance is ok, live in Scotland. I know people who've graduated from LSE (cost £50k over two years full-time) and Strathclyde (£24k over one year though not as prestigious) who went onto starting salaries of £75k (edging toward half million for a few of the guys), admittedly in the banking side of things. I don't know if I'd go into that or something more commercial - but I'm wondering if it'd all be a waste of time or not... and money! Take Strathclyde... cost £24k and lost income that year of £50k plus £10k living costs = £84k down the swanny? LSE more like £170k+. It's ridiculous, but I though that when I reached my current level of salary, I'd feel well off - but I don't - housing is still so unnaffordable, and when I hear what some of my othe rgraduate friends earn... ok, so it's a lot compared to the average Joe, but I'm not the average Joe! So, any thoughts? Main advice I've always been given is that if you do one, do the best one (LSE). It's not all about the money - working in a technical job, I think I'd quite like a change and find the subject matter pretty interesting. I actually have some MBA notes and have been reading them in my spare time, regardless.

dizzyrascal

To be honest your motivation for doing an MBA does not sound right. I think you have to be very interested in a subject to study it (especially with the costs you are considering).
You seem to be focusing on what others get paid and not on how happy YOU are?
If money and salary are so important then it might be worth considering but it doesn't even sound like you love your job?
50k is a very good salary by the way and how are you planning to fund the study if you are not working?

Acc72

guitarman001 wrote: »

Strathclyde... cost £24k and lost income that year of £50k plus £10k living costs = £84k down the swanny? LSE more like £170k+.

If you are seriously considering a full time MBA then you firstly need to fully understand the costs.

At the moment you are mixing and matching - eg. the £24k fees for Strathclyde will be paid for out of your post tax earnings, whilst you also mention £50k which is your pre tax salary.

Therefore, studying at Strathclyde would actually cost you a total of approx £69k "cash" in your pocket (£35k in lost salary, £24k fees and £10k living costs).

Equating this back to a salary, you would need to earn an additional (approx) £110k to cover this £69k.

Post MBA if you obtained a job with a £20k slary increase on your current role, this would represent a payback of 5.5 years.

cockaleekee

If you look to money as a means of happiness, you are never going to be happy. What happens when you earn £20,000 more? You'll want another £20,000. It's a vicious cycle.

I would echo dizzyrascal's advice, you need to take a rounder view of this. What will an MBA help you to achieve? What will that achievement bring to your life - job satisfaction, a greater work life balance, or simply more money and no time to do anything with it.

Don't get hung up on the need to buy a house - it's not all it cracks up to be!

phill99

You don't feel we'll off on £50k? Struth.

DKLS

Dont rule out an accredited MBA in Europe, in general its much cheaper to study in europe.

somethingcorporate

Plenty of MBAs out there on less money than you so it's not an easy ride to more money.

I suggest if you want to consider making more money you will have to move to where the money is so probably means considering London.

If you think housing is unaffordable on £50k then you need to consider your lifestyle, this is enough to buy a reasonable house in most parts of the country. Perhaps you should post up an SOA so some of the regulars can help you cut back to make housing more "affordable" for you. I wonder if you have been trying to live a lifestyle above your station that means you'll never save enough to buy a place.

Caroline_a

I don't think I've ever seen a job advertised with an MBA as a requirement. In my department at work we have one guy in a particular job with an MBA (and aren't we sick of hearing it!!). He also has a good degree from Cambridge. Yet he earns the same as the rest of them, including at least 4 or 5 who didn't go to uni.

I really don't think it's a route to higher salaries, at the sort of level you are talking about it's much more about being in the right industry and the right area - and being very good at your job.

InsideInsurance

What do you do? What would you do post MBA? Why cant you do that now?

There are some guys with MBAs with great jobs, there are some people with no degrees at all who do the same job as the MBAs or are even their manager. There are also a lot of MBAs doing very low level roles and earning significantly less than you are now.

An MBA can be a good thing but it isnt an automatic ticket to a higher salary. You need to identify what you will do with it and whats blocking you now

InsideInsurance

Caroline_a wrote: »

I don't think I've ever seen a job advertised with an MBA as a requirement.

In a former clients Strategy department the senior guys were supposed to have an MBA or fully qualified ACCA but one of their guys didnt even have o-levels and I was assisting them and I dont have any degree either.

zildjian

I think the OP whilst referring to money, was actually meaning he has hit the glass ceiling in his chosen profession and as such any career progression resulting in any wage rises.

I think you need to "play the field" and see if any jobs that are breaking your "glass ceiling" require an MBA.

I also think it depends on your risk appetite. In this economic climate do you stick or do you gamble? Im not sure id be able to safely give up £50k p/y.