How Much Does a Masters Degree Cost Is it Worth?

How Much Does a Master’s
Degree Cost?

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Introduction
Cost of Masters Degree
Average Cost of Masters Degree
Cost of Online Masters Degree
Online vs On-Campus
How to Pay
Return on Investment
Conclusion

It is 2023, and we live in interesting times. The COVID-19 pandemic continues to rage on, and it may well be more than a while before normalcy is restored; when on-campus graduate schools can resume operations. Although there was already a steady move towards online education, particularly in online master’s programs, well before the pandemic, the average cost of education, including that of a bachelor’s degree or a master’s degree, was always on the rise and continues to be so. Rising degree level tuition and fees puts tremendous pressure on students pursuing an online master’s program, with private school and graduate programs already costing thousands of dollars.

So, how much does a master’s degree cost? To put everything in perspective, experts at OnlineMastersColleges.com have created this guide to answer the question of how much online master’s degree programs cost. The in-depth information provided here will help students understand the cost of online master’s degrees versus traditional on-campus ones, and help them make an informed choice between the two.

Getting A Master’s Degree Online

Students can earn an affordable online master’s degree in a variety of subjects. Learners can take classes online while undergoing practical training at a place near them, even in programs with a lot of clinical or research components. More than 1.2 million graduate students take online programs, with over 900,000 of them studying fully online, according to the National Center for Education Statistics (NCES). Degree seekers pick affordable online master’s programs for a variety of reasons, but one of the most important ones is the flexibility to earn a degree and enhance their careers while working. Another compelling reason to opt for online education is that in most cases, learners receive the same benefits as on-campus students, including access to libraries, student discounts, student support services, and other resources.

Choosing a Graduate School for Online Degrees

Choosing a good grad school and suitable online masters is quite an arduous process. Students must consider several factors before zeroing in on a particular program for their online education. A good grad school should

offer flexible degree programs
demonstrate academic excellence
have online master’s degree program on par with on-campus graduate degrees
support both in-state students and out of state students
preferably feature in any reputed school rankings
exhibit recent research excellence framework

Factors Influencing the Cost of a Graduate Degree

Master’s programs focus on providing students with advanced knowledge and skills, to take on challenging careers in their chosen field. But graduate schools (especially private schools and for-profit schools) have several overheads to bear when imparting education and have to also invest in infrastructure and faculty training, to improve their offerings and reputation. These, and other factors, directly affect tuition and graduate school-cost for both on-campus and online programs. Some determinants of cost include, but are not limited to:

School rankings and reputation
Location of the college
Accreditation of programs and/or the college
Qualifications and the experience of faculty and staff
Infrastructure and research facilities
General upkeep of the institution
Trusted partner programs (if any)
Number of students enrolled in a program

The Cost of Graduate School – Analyzed

The cost of a graduate degree and graduate school depends on many factors such as the subject & program, the university, the state in which the student is enrolled, etc. While the cost of a master’s degree varies, according to Peterson’s, the average tuition and fees for a master’s degree are between $30,000 and $40,000. When it comes to master’s degree programs, public schools are the more affordable alternative for in-state students. Graduate students frequently live off-campus, while individuals obtaining a graduate degree after establishing a career typically continue to live in their apartment or home while attending school, translating into reduced costs.

Here are all the larger expenses involved when pursuing online master’s programs:

Tuition

The most significant expense is annual tuition and fees. Directly affecting annual tuition is the duration of the program. A typical graduate degree requires a 2-year course of study but, depending on the subject, the program may be anywhere from 18 months to three years long. If the student takes only one course at a time, some online schools charge more per credit hour than if several courses are taken at the same time. In other words, the per-credit rate decreases when a student enrolls in more credit hours per semester. Of the 25 most affordable online schools offering master’s degree programs, the cost per credit hour will be in the range of $500 to $625. This brings the average annual tuition (of the 25 most affordable online schools) to approximately $5,362 per year.

(Note: Tuition varies for in-state students and out-of-state students.)

Fees

Unfortunately, tuition may not be the only cost that a university charges. There will probably be a host of other fees (dependent on how many credits one takes for that semester). Some such fees include:

Per Credit Fees
Technology / Tech Support Fees
Counseling Fees
Assessments for Course-Level Placement
Laboratory Fees
Criminal Background Checks
Research Courses
Trusted Partner Programs Fee
Exam Proctoring
Official Transcript Fee
Graduation Fee

Technology

The backbone of an online master’s is, of course, technology. Technology-related costs typically run into thousands of dollars but are inevitable. The following items are mandated for an online master’s, some of which are also required for a traditional on-campus master’s program:

A good laptop or desktop computer
Computer accessories or peripherals (headphones, speakers, etc.)
Broadband Modem and Wireless Router
Broadband Connection or Wireless Internet Service (recurring monthly)

Other Costs for a Graduate Degree

Most master’s degree programs require an internship, and this may hold true for some online master’s programs as well, adding to the overall cost. Prospective students are also advised to conduct a school search to see if there is travel involved or other program requirements that may have a bearing on the cost. Additionally, books, educational supplies, and living expenses can add up to hundreds of dollars, which one must consider.

Tuition vs Overall Cost

Tuition is not a rip-off, but it is also not exactly transparent. One of the most common complaints among college students is that it is difficult to know how much something costs until one gets the bill. And when one does get the bill, it is difficult to determine what has been paid for. While some colleges do list the overall program cost on their websites, these institutions are few and far between.

Financial Aid for Graduate Students

Average Cost of a Master’s Degree

Cost of an Online Master’s Degree

Cost Comparison: Online School Vs. On-Campus School

Many sources claim that an online master’s degree cost is more than the cost of a master’s on campus; they are right to some extent. Contrary to popular belief, online schools are more expensive than traditional on-campus schools, but if you dig into the details, graduate students will find that there are a lot of factors speaking for online programs that would weaken this argument. Yes, typically, tuition fees for online master’s degree programs tend to be higher than the on-campus tuition fees, but the overall cost might turn out to be less, depending on some factors such as:

Out-of-State Tuition – most of the on-campus schools charge an extra fee if graduate students are out of state, but not all online schools charge this fee.
Personal Expenses – There are no personal expenses involved when students are attending online programs because they are taking their classes from the comfort of their homes.
Housing and On-Campus Fees – Not having to pay for housing and on-campus fees, plus other expenses, automatically reduces the overall cost.
Lower Cost-per-Credit – For most universities, the average cost per credit is also lower.

Once prospective students have factored all of this in their school search and understood the different costs involved, which vary by university, they will find it easier to do a budget analysis. Doing so will help in finding schools providing flexible degree programs at decent costs.

Important: A master’s degree earned online could be less expensive. Although this may be true for certain online master’s programs, cost comparisons should be determined by researching each university and the cost of their program.

Savings from Online Programs

The tuition and fees for graduate school may or may not be higher than on-campus schools based on the program of study and the state. Still, one can undoubtedly take advantage of in-state tuition costs with online universities that do not charge an out-of-state fee, along with other costs that typically do not apply to online education. Here is a quick run-down of savings, prospective students can expect out of online master’s degrees:

Room and Board
Campus Security
Campus Recreation
Student Health Services
Student Legal Services
Student Organizations
Athletics
Transport
Fuel
Parking

How to Pay for Master’s Degrees

The cost of a master’s degree program can run up to several thousands of dollars. Fortunately, and under certain circumstances, many colleges allow students to pay for their master’s degree as they go, which can make budgeting much easier. Online learning also brings with it several financial advantages, such as the lack of a commute, and the ability for students to keep working their current job while pursuing higher education, potentially saving them a lot of money. Figuring out how to pay for a master’s degree, apart from digging into one’s savings account, is usually at the top of any prospective student’s list of things to do. Here are a few ways to fund online education:

Scholarships

Scholarships are one of the most prized and commonly used forms of funding by graduate students for an online program. Sometimes called fellowships, scholarships do not need to be paid back. Many of them are sponsored or administered by a variety of sources, including the master’s degrees themselves, individuals and private trusts, charitable organizations, nonprofit organizations, and business corporations. (Beware of the many Scholarship Scams online.)

Grants

Grants and scholarships are usually interchangeable terms because like scholarships, grants do not have to be paid back. However, the biggest difference between the two is that grants are usually need-based, while scholarships are usually merit-based. The most popular grant is the Pell Grant, which is offered through federal financial aid. Specific federal grants are also available to graduate students, such as – TEACH Grants, Iraq and Afghanistan Service Grants, Fulbright Grants, etc.

Student Loans

Loans need to be repaid, which means that students take on less student debt toward their master’s degree. For students looking beyond scholarships, several federal student loans are available, such as Direct Unsubsidized Loans (where the interest begins to accrue immediately), and Direct PLUS Loans (where no interest accrues until six months after graduation). In some cases, and depending on their credit score and credit history, parent loans are available that allow parents to take out a certain amount of money toward their child’s education. There is also the option for students to seek private student loans from banks and credit unions.

Fellowships

Typically, fellowships are reserved for students in doctoral programs, but many are open to graduate degree students as well. Fellowships are merit-based and designed to allow a student to pursue a full-time master’s degree, and also engage in research, without having to worry about financial constraints. These are sometimes offered by the schools themselves, or by professional/research organizations.

FAFSA

To be eligible for the many sources of funding for graduate education, students must first complete the Free Application for Federal Student Aid or FAFSA®. Doing so will establish one’s eligibility for financial aid and also help the school when awarding scholarships or grants for a master’s degree.

Prospective students should read the Best Guide to Financial Aid to understand more about funding online graduate education.

Return on Investment

Conclusion

Disclaimer

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