Author Topic: Have you enrolled in an executive MBA program?  (Read 4187 times)

thisperson

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Have you enrolled in an executive MBA program?
« on: October 16, 2014, 01:18:04 PM »
I'm curious to hear from folks who have enrolled in an executive MBA program. What was your experience? If you could go back in time knowing what you know now, would you still do it? How has the degree affected your career? I would be particularly interested to hear from anyone who worked/works in higher education who pursued an executive MBA.

Context: I work for a university that offers an executive MBA. The program takes about a year and a half to complete and the cost is about $120k. Because I'm an employee, they will cover tuition, but it would be considered taxable income. I currently hold a masters in higher education administration from a different institution, but my career path is limited without a terminal degree (and my current employer doesn't offer any doctoral programs in education).

Thank you for your thoughts.

mozar

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Re: Have you enrolled in an executive MBA program?
« Reply #1 on: October 16, 2014, 06:56:32 PM »
What is your tax rate? If your tax rate is 15% is it worth about 15k to you? From what I hear the executive degree is not taken as seriously as a regular mba (full time i guess). ymmv

Goldielocks

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Re: Have you enrolled in an executive MBA program?
« Reply #2 on: October 16, 2014, 09:29:47 PM »
There is usually nothing that indicates executive MBA... At the price you indicate, it appears to be a full MBA in an alternative format without govt subsidies.

If it is worth the taxes, and you have the time and interests, definitely take it. Ask what the official degree is.. It may not say executive.

Do NOT take it as a money making strategy as there are no guarantees, and I assume higher education would not value it as much as a discipline masters, like master of economics orbiology...

MgoSam

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Re: Have you enrolled in an executive MBA program?
« Reply #3 on: October 17, 2014, 01:12:37 AM »
Are you looking to stay in the same field or transfer to something else? The reason I ask is that there might be tax incentives towards higher education IF it is used to enhance skills needed in your current profession. When I was studying accounting we were assigned to do research on this, and I wish I knew more, but if I recall the case involved a hypothetical person who's employer was paying for his MBA and he wanted to know if the entire tuition was considered income. I don't recall the precise answer, but I do encourage you to talk to a qualified CPA or tax advisor, especially as I don't know if it changes due to you work for the university (the university might write off the expense as opposed to a corporation, like Target, paying for your tuition).

thisperson

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Re: Have you enrolled in an executive MBA program?
« Reply #4 on: October 17, 2014, 06:41:11 AM »
The degree would be an MBA from an ivy league university (won't say anything about executive). Taxes would be in the 25% bracket. I should have clarified that I work in administration, in a field called institutional research (and I anticipate remaining in administration, likely in some kind of budget/planning type position), so an MBA seems more applicable than the majority of other degree programs available to me. And the executive MBA is meant for people who are working full-time, whereas other degree programs are intended for full-time students and would take longer for me to complete.

If anyone has participated in an executive MBA program or works in higher ed and has thoughts about how MBAs are perceived, I would appreciate your insight. Thanks.
« Last Edit: October 17, 2014, 06:44:02 AM by thisperson »

MooseOutFront

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Re: Have you enrolled in an executive MBA program?
« Reply #5 on: October 17, 2014, 08:21:45 AM »
An MBA from an ivy league university for $25k and a 2 yr pain in the ass during my spare time seems like a no brainer to me.  I would do it personally.

OSUBearCub

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Re: Have you enrolled in an executive MBA program?
« Reply #6 on: October 17, 2014, 08:45:57 AM »
I have the same situation - work will be covering my entire tuition.

Question because I'm terrible at math:

My degree (only $32k) will take two years to complete.  $16k per year wouldn't move me out of the 25% bracket  but the whole enchilada would. 

What is your tax rate? If your tax rate is 15% is it worth about 15k to you? From what I hear the executive degree is not taken as seriously as a regular mba (full time i guess). ymmv

Mozar can you help me understand this math.  You meant 15k total divided by the number of years in the program, right?  About 10k in the first year and 5k the second?

BaldingStoic

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Re: Have you enrolled in an executive MBA program?
« Reply #7 on: October 17, 2014, 09:46:57 AM »
If your school is picking up the tuition you should go for it; That's one hell of a subsidy, tax implications notwithstanding.  I completed a very cost-effective online-MBA through CSUDH - http://www4.csudh.edu/mba/, but I also looked at executive programs (particularly USC) but the >$100K cost was a turnoff and I wasn't getting much support from my employer. 

My general thoughts are that the traditional programs are indeed more rigorous, but either route will provide a solid foundation.  The executive programs allow for better networking since your fellow students are further along their career path.  Also, I think class dynamics and interaction are likely better in the executive program since it will be an experienced and successful group of guys and gals.  Executive programs tend to take care of all the minor hassles like buy textbooks and often wine-n-dine you reasonably well; not a major factor but when you're busy - balancing a job and school - it's nice to have these logistics taken care of. 

At the end of the day, either program gives you the same credential, an MBA.  The main sacrifice is actually your time, not the tax dollars, but as long as enjoy learning you should definitely pursue it.   

olivia

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Re: Have you enrolled in an executive MBA program?
« Reply #8 on: October 17, 2014, 12:09:51 PM »
I would go for it.  I was in the same situation and chose to go for the master degree (not an MBA but relevant to my field) from the ivy league school where I was working.  Cost me about $1700 per class in taxes, but it landed me a job that paid 70% more than my current job, so it was well worth it. 

thisperson

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Re: Have you enrolled in an executive MBA program?
« Reply #9 on: October 17, 2014, 12:52:55 PM »
Thanks, Stoic. That's helpful information.

If your school is picking up the tuition you should go for it; That's one hell of a subsidy, tax implications notwithstanding.  I completed a very cost-effective online-MBA through CSUDH - http://www4.csudh.edu/mba/, but I also looked at executive programs (particularly USC) but the >$100K cost was a turnoff and I wasn't getting much support from my employer. 

My general thoughts are that the traditional programs are indeed more rigorous, but either route will provide a solid foundation.  The executive programs allow for better networking since your fellow students are further along their career path.  Also, I think class dynamics and interaction are likely better in the executive program since it will be an experienced and successful group of guys and gals.  Executive programs tend to take care of all the minor hassles like buy textbooks and often wine-n-dine you reasonably well; not a major factor but when you're busy - balancing a job and school - it's nice to have these logistics taken care of. 

At the end of the day, either program gives you the same credential, an MBA.  The main sacrifice is actually your time, not the tax dollars, but as long as enjoy learning you should definitely pursue it.

Goldielocks

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Re: Have you enrolled in an executive MBA program?
« Reply #10 on: October 17, 2014, 07:44:29 PM »
I completed an executive MBA while working full time.

I chose it for personal reasons first, before money or career reasons.  It is a huge workload, and I can't imagine an ivy league version being a fluffy walk in the park.

I am very glad I did, and it paid off in a large way, but I never would have gotten through if I was not personally vested.   I was not able to contribute more than a basic work hour week, so did not grow at work much, until I completed, then BANG!

Warning...
I highly recommend NOT taking an MBA while working full time with two kids under 2 years of age at home.

mozar

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Re: Have you enrolled in an executive MBA program?
« Reply #11 on: October 17, 2014, 09:17:35 PM »
I just meant that if 100k is considered income then you pay taxes on your income, so if you are in the 15% tax bracket 15k is what you would end up paying overall, or 25k in the OPs case. That's the total amount for however many years it takes.
I hear that MBAs are over-saturated in the market, but if it's ivy league i say go for it.