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U.S. News Data: The Average Online MBA Student

By U.S. News & World Report

Online MBAs offer students the flexibility to study when and where they want. That’s part of what makes them so appealing to working professionals.

By pursuing an online MBA, students can often balance a full-time job with an education, squeezing in time to study and complete assignments even after a day in the office. Business remains the most popular graduate discipline that online students pursue, according to a 2016 survey conducted by Aslanian Market Research and the Learning House.

An analysis of data submitted to U.S. News by schools in an annual survey offers a glimpse at the average student in a ranked online MBA program who enrolled between July 2015 and June 2016.

According to these data, the average age of online MBA students who started a program during that period was 33 years old — older than the average of 27 for those who began an on-campus, full-time MBA program in fall 2016.

And, among the 124 ranked online programs that provided employment data to U.S. News, an average of 91 percent were also working full time when they enrolled.

[Discover why online learning works well for working adults.]

“The online platform allows students to still achieve everything that they want to in their work life, still hold down family and life obligations and tackle the MBA,” says William Rieth, director of graduate enrollment at the Temple University Fox School of Business.

Online MBA students who enrolled during the 2015-2016 school year primarily paid for their own education. Still, slightly more than one-third of them on average had an employer pay either some or all of their tuition, U.S. News data show.

“Companies are willing to invest in these students who go back for their MBA because they’re able to relate the content directly back to what they’re working on in their organizations,” Rieth says.

Not only do MBA students hold jobs while earning their degrees, but on average, 89 percent of those who enrolled in ranked programs in 2015-2016 already had prior work experience — an average of eight years’ worth. To compare, the average for full-time MBA students who started in fall 2016 was a little more than four years, U.S. News data show.

The opportunity to interact and network virtually and through on-campus residencies with online classmates who have so much experience in different fields is part of what makes an online MBA program rewarding, experts and students say.

“It is invaluable, especially when we do a lot of group work in these sessions, that the more experience you have, the more real life examples you can bring — not only just from case studies you read but also your own examples and the companies you’ve worked with,” says 41-year-old Monika Chandra, a student in the online MBA program at the University of Maryland Smith School of Business.

[Learn the do’s and don’ts of online group work.]

Chandra, who has worked primarily in health care finance and operations for more than 15 years, says it’s also interesting hearing from students who are just a few years into their careers and can offer alternative perspectives to those in managerial roles.

On average, a large majority of online MBA degree students aren’t veterans or in the military. Active and former service members comprised just 9.4 percent of students who were enrolled in ranked programs in 2015-2016.

Still, that proportion is significantly higher at some schools. At Southwestern College in California, half of enrolled online MBA students for 2015-2016 were veterans or in the military, according to U.S. News data. And at Smith, that figure was nearly one-fifth.

“People with military experience tend to move around a lot more, and the online MBA program does not require that you be in one place for the entire duration of the program,” says Michael Faulkender, associate dean of master’s programs at Smith.

Experts say earning an MBA is likely to lead to a salary increase — and that includes for online students. It’s important to note, however, that just 11 schools submitted data to U.S. on both incoming students’ salaries in 2015-2016 and those for graduates three months after getting their degree.

On average, online MBA students who started between July 2015 and June 2016 earned a salary of $79,352, U.S. News data show. For those who graduated in that time frame, the average salary was $96,974. That’s a 22.2 percent difference between the averages.

Finding better career opportunities is the goal of many online MBA students. Chandra, the Smith student, says her goal was not only to explore business career paths outside of finance but also to perhaps move into a higher-up role at a mid-sized to large company.

In addition to the financial change, Rieth recommends that students also recognize the other benefits of pursuing an MBA, whether online or on campus.

“Do you feel more confident coming out of the MBA? Do you feel like you can approach your leaders within your organization and pitch ideas?” he says.

Trying to fund your online education? Get tips and more in the U.S. News Paying for Online Education center.

More from U.S. News

Ace an Online MBA Program Admissions Interview

10 Most Affordable Online MBA Programs

3 Questions to Ask Before Choosing an Online MBA Program

U.S. News Data: The Average Online MBA Student originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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