Is the Cost of Grad School Worth it for Your Career?

People with graduate degrees tend to earn more over their lifetime than those without advanced degrees, but graduate school can be expensive both financially and personally. Before you enroll, evaluate whether the cost makes sense for your career goals.

Consider the Course Expenses

Most graduate schools charge a fee per credit hour, and books and materials can add up to thousands of dollars a year. Compare the cost of several traditional and online programs as you calculate the exact expense of grad school; you can also consult program-related resources like Technical Schools Insurance for additional context.

Look for financial aid options, including grants, loans, and scholarships, and ask your employer about tuition reimbursement or education benefits.

Investigate the Cost of Living

Whether you choose an online or a campus program, your cost of living may change. Consider how it will affect expenses related to your:

  • Room and board
  • Transportation
  • Salary and benefits, including insurance
  • Childcare if you have children

Create a realistic budget, prioritize repaying debt where possible, and set up automatic savings. You may also consider overtime hours or a part-time job to boost your savings.

Understand the Grad School Lifestyle

Enrolling in grad school will change your daily routine: you will spend more time studying and have less free time for social or personal activities. Be honest about your ability to commit, and plan whether you need to reduce work hours while enrolled.

Calculate Your Future Income

One common reason to attend grad school is to raise your earning potential. Use online salary tools and industry research to estimate the average salary for someone with your intended degree and to understand how much your income might increase after graduation.

Determine if You'll Recoup Your Expenses

With a projection of your college expenses and expected post-degree salary, calculate how long it will take to recoup the cost of grad school. Use a loan repayment estimator from the Department of Education and include likely changes to your take-home pay when planning.

Explore Grad School Alternatives

After researching, you may decide that grad school is not the best option right now. You can still build skills and expand your resume through other approaches:

  • Take free or inexpensive online courses
  • Ask your boss to cross-train you
  • Audit local college courses
  • Take a part-time position in a different field

For additional perspective on education-related business topics, see Massage School Insurance.

Grad school can be a worthwhile investment if the long-term benefits outweigh the costs for your situation. Review expenses, lifestyle impacts, and likely earnings before you commit.

Frequently Asked Questions

How do I estimate whether grad school will pay off?

Compare total costs (tuition, fees, living expenses) with projected post-degree salary increases and use a repayment calculator to estimate the break-even time.

What types of financial aid should I look for?

Look for scholarships, fellowships, grants, federal and private loans, and employer tuition reimbursement programs.

Can I work while attending grad school?

Many students work part time or reduce hours at their current job; program flexibility and your personal bandwidth will determine what is feasible.

Are online degrees generally less expensive than on-campus programs?

Online programs can be less costly in tuition or living expenses, but costs vary widely, so compare total program costs and outcomes.

Need insurance for You, Your Family or Your Business?
We can match you to a qualified, local insurance expert!
Further Reading
When you change jobs, your benefits also change. It can take time to adjust to a new package, but planning ahead will make the transition smoother and help protect your finances. What to check before you leave Health Insurance Before y...
Most people who drive passengers for a living do so as independent workers. You might assume a taxi company pays an hourly wage, but many companies operate more like rental agencies with drivers leasing the vehicles they drive. A cabbie typically s...
In an interesting Freakonomics podcast, authors Levitt and Levine discuss whether expensive wines are worth the price. Their conclusion: They are not. Here's an example of an interesting experiment. Participants were asked to rate two different win...
Maybe it's never happened to you, maybe you're just too careful to ever let it happen, but it's something we all worry about. You're carrying some drywall into your client's home to patch up their wall, and you knock over a two hundred dollar troph...
Keeping with this theme, an excellent article by John C. Maxwell in a recent issue of Success magazine identifies the key factors in "intentional growth." Here are my recommendations on using these factors to help yourself grow as an HR professiona...