Today our friends from Admit1mba.com are sharing a guest post with us. This is a guest post from Yael Redelman-Sidi, who writes and runs Admit1mba.com, an MBA admissions consulting services that offers one-on-on MBA essay editing and MBA interview prep.
If you’re reading this article, you have big dreams: to go out and get a top MBA and find a great job that will take you places (or to go out and save the world, or both). Still, paying for an MBA is a complicated task, even for students who have been working in a job that has decent compensation. I’ve worked with and helped MBA applicants from various backgrounds get into top business schools, and in this article I’m going to share their experience (and some other useful tips).
In this Article
Tip 1: Don’t let money limit your options
Some students decide not to apply to MIT or Harvard or INSEAD, worrying that they won’t have the funds to pay for the program or that it will be too burdensome to take out huge loans. The first part you have to focus is on getting into the best school for your profile and career goals; once you’re in, you’ll have more options and tools to figure out how to pay for school.
Tip 2: Why Harvard might be cheaper than a third-tier MBA program
This is one of the best-kept secrets of the MBA industry: it might be less expensive for you to attend Harvard or Stanford than your local MBA program. The reason is that top universities often have more resources, available to students based on either merit or need. Almost all of the incoming class at the Harvard MBA program get some kind of financial aid, as long as they have requested to be considered for it. Top programs often have alumni who make more money and therefore can donate more to aid current students. This is one reason you shouldn’t scrimp on GMAT/GRE prep or getting help with your MBA essay and application editing, as you want to keep your options open.
Tip 3: Plan ahead
If you’re expecting a big bonus at your job or a promotion that will mean significantly more money, take this into account in your MBA planning. Usually, postponing your application for one year won’t make a big difference in your admissions chances, but it may make your life easier (and less stressful) when you need to take out loans.
Tip 4: Consider your future career
If you’re thinking about a career in non-profit, check out the schools that offer loan forgiveness programs; as long as you’re working in an NGO and making less than a specific sum, some schools will pay off some of your loans. If you’re going into a field like banking, management consulting, private equity, trading, or any other profession where you expect to make more than $100,000 (for US students), you should focus on getting into the schools that will help you with this career move, and GET that job.
Tip 5: Every penny counts
From being a teaching assistant to skipping some of the globetrotting experience some people associate with business school (Iceland for spring break; long weekends in Mexico), there are ways to cut your costs. You also don’t have to live in the most amazing bachelor pad during school; just find something that will work for you for that year or two in terms of school, job search and quality of life, and stick with it.
Tip 7: Check out signing bonuses
Do some market research to figure out how much you will make during the summer between first and second year of business school, and the size of the signing bonus; this will give you a better idea of what you will need to pay, borrow and find scholarship money for.
Tip 8: Start early
The earlier you apply and get into a program, the more funds are still available (at most programs) for merit and need-based scholarship. Also, applying earlier in the cycle will hopefully give you more options and more offers, as well as time to plan ahead and apply for scholarships and financial aid.
Need help figuring out whether you can pay for school, or what your chances are for admission to top MBA programs? Email [email protected] or visit Admit1mba.com to find out more about how Yael can help you with the MBA application process.