The MBA degree is highly requested by students and young professionals not only for its prestige, but also for the benefits it brings. Discover in this article the salary earned by an MBA graduate.
The MBA is renowned for providing certain benefits in terms of salary and experience. Many factors drive this evolution and these benefits, and it is important to understand them. What is the salary of an MBA graduate? What factors influence it and its evolution? We will explore these questions in this article.
In summary:
The salary of an MBA graduate:
- Is generally higher than before obtaining the degree
- Is influenced by a variety of factors, including the degree-granting school
- Can evolve with years of experience and performance
- Varies depending on the company joined
What factors influence the salary of MBA graduates?
Generally, the salary of an MBA graduate differs from that of a professional holding the same position but without this degree. However, its amount can vary from one employee to another based on many factors, including:
- The school where the MBA degree was obtained
- Personal performance
- Type of MBA obtained (generalist or specialized)
- The size of the company joined
- The industry in which one operates
What is the impact of experience on post-MBA compensation?
The MBA program is designed to enhance the performance of professionals already working within a company. For this reason, it already serves as an indicator of performance and experience for the degree holder. It is also worth noting that professionals designed the MBA for this purpose.
The MBA is renowned for being a program that meets the specific needs of professionals and companies. As a result, some companies offer higher post-MBA compensation. Indeed, companies consider MBA holders as experienced professionals, and this degree certifies that.
What is the average salary of MBA graduates by industry?
The MBA or Master of Business Administration is a program focused on various aspects of commerce, management, and related sectors. It aims to train future executives and professionals in high-responsibility positions. It is possible to specialize in a branch of interest within an MBA program.
With a specialized MBA, you can, depending on your preferences, join a company operating in luxury, international trade, or other sectors. Depending on the industry of the company and its size, you can earn a different salary. For example:
– €61,000 per year on average with an MBA in the hospitality and leisure sector
– At least €50,000 per year with an MBA in the luxury sector
– At least €48,000 per year with an MBA in the finance and insurance sector
How does the salary of MBA graduates evolve over time?
In general, for the same position, the salary of an MBA graduate is already higher than the norm upon entering a company. If you already have enrolled in this program before undergoing your training, you can expect an increase of approximately 20 to 30%.
Of course, the upward revision of your salary depends on the company you work for and the school where you completed your training. Your experience within the same company is also taken into account for your salary increase, even with an MBA.
In France, at the beginning of your career, the salary of an MBA graduate generally ranges from €32,000 to €38,000 gross per year. With more seniority and experience, your annual gross salary as an MBA holder can reach around €91,000.
The MBA opens doors to an international career and can earn you more depending on the country where you work. For example, if you work in Switzerland, your annual gross salary as an MBA graduate can reach up to €123,500.
Where to enroll in an MBA program?
Looking to enroll in an MBA program? Join IUM, our international business school that offers a wide range of programs within an MBA framework. Visit our website to discover all the options available and check out our FAQ section for answers to any questions you may have.