Is a master's degree worth it? Insights for professionals

You’re standing at a crossroads, wondering: Is a master’s degree worth it? It’s like staring down a fork in the road.

No pressure, right? Perhaps you’ve hit the hustle culture hard, scaled the corporate rungs as far as you could, and exceeded even your own expectations. Maybe you feel burned out or bored at work. So, you’re looking for ways to work smarter, not harder. Maybe you’ve been listening to educational podcasts, and you realize how much you miss a cerebral academic atmosphere.

Before immersing yourself in Graduate Record Examination (GRE) prep and grad program research, hit pause and consider the whole picture. Pursuing a master’s degree is a significant commitment. It involves costs, could impact earnings, and might open up more opportunities in certain fields like academia and health care.

It’s a terrain that deserves careful navigation. A solid understanding of its impact on your career path puts you in the best position to use your informed decision-making skills to map your educational journey. 

The potential benefits of a master's degree

Between 2010–2011 and 2020–21, the number of master’s degrees earned increased by 19%. This increase signals a growing trend of professionals pursuing advanced education and chasing the benefits it promises.

But what are these benefits, exactly? For one, there’s the enticing potential for increased income.

Increased earning potential

Earning a master’s degree can boost your income. The key is that employers aren’t just impressed by the master’s degree itself (although it might help you get noticed by upper management). It’s the specialized skills and knowledge that make you indispensable at work that catches their eye. Often, these advanced skills come with the perk of a higher salary.

Plus, the degree can open doors to new opportunities, like getting promotions or bonuses, which means even more money. Earning your master’s degree is a smart move because it helps provide long-term financial stability. 

Career advancement

Are you aiming to uplevel your career? With the advanced skills and expert knowledge you gain from a master’s degree, your resume may stand out. As a result, you’ll be a stronger candidate in the job market. You might find that it opens doors to upper-level positions.

Are you eyeing a promotion within your current company? If you keep getting passed over for that promotion, a master’s degree could be the extra weight tipping the balance in your favor when you’re head-to-head with colleagues for the same role.

Network building and professional connections

A master’s program is not just an academic endeavor. It’s a networking gold mine. Networking during grad school is important because you’ll have access to a diverse cohort from a wide range of industries in one place. You’ll be able to make professional connections with classmates, professors, and alums. This network can be invaluable for your career.

Beyond the classroom, you’ll likely also attend industry events, conferences, and career services. During these events, you’ll mingle with professionals, stay updated on industry trends, and tap into opportunities that can grow your career. So while earning that degree, you’re also expanding your professional sphere, staying informed, and increasing your industry standing.

The potential drawbacks of a master's degree

While a master’s degree gives you advanced knowledge and skills, it has potential downsides. You’ll want to weigh the drawbacks against the benefits when deciding whether to invest money, time, and effort into grad school.

Debt

Parting with thousands of dollars and taking on more debt? In this economy? Debt is one of the downsides of earning a master’s degree. And the amount you invest in your education can depend on several factors:

• What you’re studying
• The cost of the program
• How you’re paying for it
• Your career prospects after graduation

On average, it takes students about 20 years to repay their student loans. If you’re in a high-earning field, it may take 5 to 10 years if you make aggressive repayments. However, repayment could take over 20 years if you’re in a lower-income job or have high debt.

Graduate school debt can be substantial and take up a large part of your earnings when you start your career. You’ll have to decide if short-term financial stress is worth long-term financial wellness. But don’t worry, it’s not all doom and gloom. There are strategies to help manage this debt, such as:

• Smart budgeting
• Payment plans based on your income
• Student loan forgiveness programs
• Combining loans, which merges multiple debts into one payment, potentially simplifying repayment and lowering interest rates

Understanding and using these strategies can help you navigate debt more effectively.

Time commitment and opportunity cost

Pursuing a master’s degree can freeze immediate career growth and income. That’s the opportunity cost. It’s the trade-off for the potential professional development that comes with an advanced degree.

You’re not only spending money on the degree but also missing out on income you could be earning. As a result, your financial situation and career growth could take a big hit, which is something to consider before applying to grad programs.

Uncertain job market

With unemployment going up and the job market slowing down, it can add more worry for someone working on a master’s degree. They might be unsure if their field of study will be in demand when they graduate.

They might also be worried about finding a job after they finish their degree, especially if there are fewer jobs available or more people applying for the same jobs. This competition uncertainty can add stress and make it harder to map out the next few years.

Lifestyle considerations

Earning a master’s degree can drastically change your lifestyle. Graduate-level coursework and research are intense. As a result, you might have less time for yourself and your interests, hobbies, and relationships. All work and no play can make you feel stressed and like you don’t know how to achieve a work-life balance.

What’s more, tuition, equipment, and other expenses might mean money will be tighter. Dinner out with friends, concerts, movies, and vacations might stretch your wallet more than you can afford. A tight budget can add more stress and limit your lifestyle choices. But it also allows you to build good habits and explore less costly ways to have fun. 

Between the books and the late-night study sessions, your social circle might end up on the back burner, leading to a sense of loneliness. It’s a juggling act that puts stress on relationships, particularly for working parents wrestling with guilt over time not spent with their kids. But it’s not a one-way street. You can find balance by consciously nurturing your interpersonal relationships.

Let's talk numbers: the stats on master's degrees

Dedicating time to your education could push your career forward. But time and costs should be measured out carefully against potential salaries, job opportunities, and student loan payments if you’ll need to borrow money. Here are some statistics to weigh into your decision:

How much does it cost to get a master's degree?

According to research by the Education Data Initiative (EDI), as of 2024, the cost of tuition for a master’s degree ranged between $56,000 and $75,000. Tuition changes dramatically depending on the institution, the master’s program, and student residency.

At public universities, the average cost is $48,690; at private institutions, the average cost is $64,440. However, the cost can rise or fall significantly depending on the average cost by type: 

• A Master of Arts degree (MA) costs an average of $66,950
• A Master of Science degree (MS) costs an average of $57,770
• A Master of Business Administration degree (MBA) costs an average of $56,850

The EDI also found that students working toward a master’s degree typically have fewer opportunities for grants, fellowships, and other financial aid than undergraduate and doctoral students, which may be why master’s students typically hold more debt. In 2024, research showed that master’s students had an average of:

• $46,798 in student loan debt
• 26% more credit card debt than the national public’s average
• 23% more student loan debt than undergraduate degree holders 

How many years of study are required for a master's degree?

In the United States, full-time master’s programs typically take two years to complete. Timing varies depending on whether you have a job or family responsibilities that require a part-time course load or need extra time to complete a research project. 

Some master’s programs may limit the time it takes to complete a degree, like capping the length of study at three years. Always check in with program advisors to discuss estimates and rules of individual programs before applying or accepting an offer.

How much should someone with a master's degree make?

There is no one-size-fits-all equation for how much a worker with a master’s degree will make. According to a 2023 report by the Bureau of Labor Statistics (BLS), master’s degree holders’ weekly median earnings are $1,661, or $86,372 annually.

As for any degree holder, salary can vary widely depending on several factors, including industry, location, and organization. While a rehabilitation counselor has a median annual salary of $39,990, a mathematician earns a median annual salary of $99,960. 

Math and science majors earn the highest median starting salaries, with engineers and computer scientists at the top of the list at $97,000 and $90,000, respectively. 

However, as education increases, an individual’s salary tends to trend up, and unemployment rates trend down. 

Likewise, the National Association of Colleges and Employers (NACE) predicted that salaries would climb for master’s degree holders in all majors in 2023, making the overall outlook for master’s degree holders favorable. 

What's the percentage of people with a master's degree?

As of 2021, 24.1 million Americans held a master’s degree, representing roughly 13% of the workforce.

But the number of master’s degree holders is expected to increase sharply. Between 2000 and 2018, the number of master’s degree holders doubled. Estimates show that the general trend strengthened during the COVID-19 pandemic.

Between 2022 and 2030, an expected 8.3 million more students will complete a master’s degree, with sharp increases in enrollment in public health fields and online programs

12 questions to ask yourself beofre applying for a master's degree

Beyond practical questions like costs and time commitments, there are several things you should consider before enrolling in a master’s degree program, including:

• Your current financial situation
• Why you want to pursue the degree 
• If the degree will advance your career 
• If you’re pursuing a subject you’re passionate about 
• Where you’ll live while you study 
• Whether you’ll study part-time or full-time
• How long is your preferred program

Consider reading books about career changes or development to stimulate self-reflection. Then, talk out important questions with a life coach or career coach, colleague, or friends who have attended graduate school to decide whether the master’s degree benefits outweigh the potential disadvantages.

1. Does a master’s degree help advance or let me follow my purpose in my career goals? 
2. Is this the next logical step in my career, or am I going through a life crisis? 
3. Is higher education necessary to advance on my career path? 
4. Does my current college degree limit me from achieving the opportunities I want? 
5. What alternatives do I have to develop more work experience or credentials?
6. Do I want to change careers or specialize in my field?
7. Does my current schedule allow me to participate in a graduate program, or would I need to quit my job? 
8. What’s the job market like for my desired occupation?
9. Is a master’s degree worth a strain on my financial wellness? 
10. Will my future occupation give me a return on investment, or will my earning potential stay the same?
11. Do I have the necessary support and resources? 
12. Am I willing to take out student loans if needed, or should I set a new financial goal of saving for grad school? 

Does a master's degree help my job opportunities?

Not all jobs require an advanced degree. However, in some industries, one will position you above other candidates or give you a leg up on promotions. Here are some jobs where a master’s degree is required or particularly helpful:

1. Education administrator

Master’s programs in Education Administration are usually required so school leaders can hone the leadership and motivational skills necessary for effective school management. To become an education administrator, you’ll also need a Bachelor of Education degree and a teaching license.

2. Political scientist

With a graduate degree in political science or economics, you can tap into opportunities ranging from high school teaching to civil service, market research, or campaigning. Political scientists have a median income of $128,020, but having a master’s degree increases your chances of being in the top 10%, where the median is above $176,280. It’s your ticket to teaching at the college level or shaping public policy in think tanks, nonprofits, and non-governmental organizations (NGOs). 

3. Nurse

Many nurses work toward a master’s degree to become nurse practitioners, nurse educators, or nurse specialists (like nurse anesthetists). These fields are in high demand, and their roles are projected to grow rapidly in the next decade. Specializing as a nurse opens doors to advanced clinical roles and higher salaries. 

Various educational routes, including bridge programs, help nurses with an associate degree pursue a master’s degree. This allows them to transition to more specialized nursing roles.

4. Engineer

Bachelor’s degrees in engineering unlock entry to the field. But many engineers hone their specializations in grad school. Salaries vary widely depending on these specializations. 

It often comes down to a choice between a research-focused Master of Science in Engineering or a skills-focused Master of Engineering degree. Specialization options are vast, from mechanical engineering to construction management and beyond.

5. Computer and information research scientist

Computer and information research scientists are the brains behind innovative tech solutions. With our growing reliance on technology, their demand is projected to surge by 23% in the next decade.

6. Business administrator

In the United States, Master of Business Administration degrees (MBAs) are the most common type, accounting for 202,334 master’s degrees earned in 2021–2022. An MBA program beefs up your business acumen and earning potential, with specializations from finance to healthcare. 

While business degrees can land you a job, an MBA equips you with advanced tools for success, whether starting your own business or climbing the corporate ladder. Bonus: The alum networks can be a strong career catalyst.

7. Librarian

Librarians need a Master of Library Science degree to master digital preservation and archiving skills. The payoff might not match that of some other master’s degree jobs. However, many librarian roles are in government or universities. Perks such as retirement and medical benefits, plus a 401(k), sweeten the deal.

Alternatives to graduate school

If your action plan for the next step of your career was to expand your knowledge and expertise, but you’ve realized a master’s isn’t the right option, don’t worry. There are many other ways to learn more about a field or industry.  

If you’ve set a goal to continue improving your education and specializing in your industry, there are several alternatives, including:

1. Internship programs
2. Vocational training
3. Apprenticeship program
4. Externship programs
5. Certification programs
6. On-the-job development training
7. Specialized courses
8. A mentor-mentee relationship
9. “Bootcamps” in technical fields such as specific forms of software development, UI/UX design and more
10. Field-specific temporary paid programs such as Teach for America

Is a master's degree worth it? To study or not to study at the graduate level

So: Is a master’s degree worth it? 

There’s no straight and narrow answer. It depends on your industry, career goals, and financial security. Choosing to enroll in a master’s program and dedicate significant money, time, and energy to study is a deeply personal question. 

Take the time to properly weigh out the benefits and disadvantages. Know that there are roads less traveled to help you gain the knowledge and expertise that will push your career in the right direction if you decide this commitment isn’t right for you. 

Whether or not to invest in higher ed can be a huge hang-up for people, especially those uncertain exactly where they’d like to go in life. BetterUp coaches walk clients through research, exercises, and self-assessments to achieve clarity, ultimately formulating a clearer path forward to success both personally and professionally.