Savings before and after business school
Dear monkeys doing 2+2+MBA:
How much did you have saved before school? How much did you allocate for school (tuition and living expenses?)
I will enroll next year so this think of this like a 2022F with good visibility into NTM:
- Savings entering MBA: $650k - $725k (PF for ASO2 bonus)
- MBA expenses (no scholarship): $223k (HBS estimate of direct and indirect (eg living) expenses)
- “Lifestyle expenses add-on”: $77k
- MBA (assumed break even for summer)
———————
Post-MBA savings: $350k - $425k
Thoughts? Reactions? Now that I am staring down the barrel of an MBA I see why people balk because of price. I am curious to hear how fellow monkeys are thinking about it. Have a good weekend.
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Sorry if this is a dumb question, but are MBAs that important to career progression within IB/PE nowadays?
Those savings pre MBA are pretty massive, if you’re planning to stick with finance post MBA I wouldn’t have any concerns here
My goal is entrepreneurship which makes it a concern. A conservative $350k lower end post-MBA vs. aggressive high end $725k sans-MBA is a lot different for how long I can bootstrap a company.
On the flip side you’ll arguably have more of a built in ecosystem and access to resources for a startup if you attend business school, which could make fundraising easier
No advice. All I want to say is that’s a lot saved up pre mba. Doing the math roughly for the 4 years is something like 100,100,200,200? Given taxes - I have no idea how you made that work. But I’m gonna guess a big chunk was returns on investments in 2020.
Are your savings all in cash, or did you invest your money throughout your 2+2?
Latter, mostly invested in tech
Just curious, do you plan to pay for everything in cash? I figured if I went back to grad school, I may do 25% in cash but take out a loan for the rest—even if I could pay the full thing in cash
I hadn’t thought about it. Why would you do that?
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