Happy Thursday! I don’t know about you, but this three-week push between Thanksgiving and Christmas always feels intense. You want to wrap up projects before the end of the year and are in the final stages of planning for next year. This is a great time to focus on maintaining good habits and getting a jump start on the next year.

Do you have any big professional goals planned for 2025? Feel free to share as I’d love to help you reach them. I’ll share mine in a few weeks.

For the rest of the year I’ll write more about setting goals and a popular topic: when to stay vs. leave your role. If there is a topic you think I should cover in the future, shoot me a note and let me know! I’d love to hear from you.

In Today’s Newsletter (6 minute read):

• Clear-Eyed Perspective: Is an MBA Worth It?

Clear-Eyed Perspective

Is an MBA Worth It?

Should I get an MBA? Did I set myself back by not getting one? Was it worth the investment?

If you’ve wrestled with these questions, you’re not alone. MBAs are a hot topic and for a reason. In 2024, applications to full-time, in-person MBA programs jumped 32%. During more challenging economic times, an MBA’s popularity increases.

I’ve been in your shoes. I have an MBA, and while my situation was unique—a career shift and partial sponsorship by my employer—I don’t have regrets. I’m often asked if I would recommend it. The short answer: it depends. The long answer: keep reading.

For some, the payoff is massive. For others, it’s a disappointing gamble. So how do you decide? And what should you do if an MBA is no longer feasible, but you want to increase your business expertise? Let’s dig into the costs, benefits, and alternatives.

First, the elephant in the room - $$$$

The price tag for a full-time MBA is insane. The total annual cost of attending Harvard Business School this year is projected to be $118,854 🤯. Unless you have a trust fund or made a fortune in your career, you don’t have that amount lying under your mattress.

Several ways exist to help you cover the costs, including scholarships, employer-paid benefits, loans, etc. For most, including myself, taking on debt will be part of the sacrifice.

The average full-time MBA debt is around $90,000. Although scary, don’t let the debt be your decision-maker. It could be worth it if the return is there.

Then, what criteria should you use to decide to pursue an MBA?

Three Questions to Determine if an MBA Is Right for You

1. Does the program you’re considering generate a positive ROI?

I’ll start by saying I hate that I had to write this section. The “elitist” mentality of it all is gross, but it’s real.

Assuming “success” is determined by career earning potential, Preston Cooper did a thorough analysis of the ROI of graduate school. The finding?

40% of MBA programs have a negative return on investment, but 10% have an ROI of over $1 Million.

If you’re aiming for financial gains or career prestige, the program’s rank matters—a lot.

Recommendation: Look at the top 10% of programs and focus on what it takes to get in. If you don’t think you have what it takes or don’t want to put in the effort, consider alternate ways to develop business expertise (more below). Here is a full analysis of ROI by school.

2. How will you benefit from the network?

In many cases, the network is more valuable than the coursework.

Erica Tuggle, founder and CEO of Cookonnect and a Harvard MBA alum, shared this with me:

A strong network opens doors, often in ways you can’t predict.

Don’t believe me? Check out the responses to this Reddit Thread, which contains countless real-life examples of how folks benefitted from their network more than the coursework.

But be cautious: networks are harder to access in part-time or online programs. My own part-time MBA network, for example, hasn’t been a major asset.

Recommendation: Connect with graduates from schools you’re pursuing and ask them about how they’ve benefited from the school’s network. Here is a list of the best MBA networks to help.

3. Does Your Career Align with One of These Four Personas?

Not everyone needs an MBA. Based on my experience, it’s most valuable if you fall into one of these four categories:

• You want to enter a competitive field. Certain industries (consulting, Big Four accounting, category management) heavily recruit from MBA programs.

• You aspire to be a big company CEO. Nearly half of Fortune 500 CEOs have MBAs.

• You’re making a major career pivot. An MBA can accelerate the transition from one field to another.

• Your employer is paying for it. If your company will sponsor your MBA, it’s a no-brainer.

Recommendation: Be honest about your career goals. If they don’t fit into these categories, don’t pursue an MBA. Look for other ways to achieve your objectives.

What If an MBA Isn’t Realistic for You?

If you are at a point where an MBA is no longer feasible, it’s ok. I’ve worked with countless leaders who never pursued their MBAs but have equal, if not more, business knowledge. A few ways you can acquire business expertise for free include:

• Take free courses through platforms like Coursera or EdX. Many top schools, including Stanford and Wharton, offer free or low-cost content.

• Read business books like The Personal MBA or No-Pay MBA. You can even find a curated list of books covering an entire MBA curriculum!

• Listen to podcasts. HBR IdeaCast, How I Built This, and TED Business are three of my favorites.

• Learn from colleagues. Schedule time with people in other functions at your company. Ask them to explain concepts you’re curious about. There is a wealth of knowledge at your finger tips.

• Pay attention to leadership updates. Read company updates carefully. Understand the “why” behind decisions.

Final Takeaway

No degree will define your worth in the workplace. What matters most is your ability to deliver value, keep learning, and build meaningful relationships.

An MBA can open doors, but how you walk through them—and what you do inside—is up to you.

If you’re unsure whether an MBA is the right path for you, let’s chat. I’d be happy to help you consider your options.