Follow
With the increasing cost of education and the tightened budgets many households now have, finding ways to finance a masters degree in business has become more important for those who wish to further their education and increase their job competitiveness and earning capacity. Fortunately, there are several potential financing options available to those who wish to pursue their masters degree.
Loans
Although lending practices have tightened since 2008-2009, students may still apply for loans to finance their education. Federal government loans tend to offer the lowest interest rates. These loans may be used to cover tuition and other education-related expenses. Also known as Stafford loans, government loans are generally repayable over 10-25 years. Other loan options include personal loans offered by banks, and a few schools have now forged relationships with credit unions, which offer loans at lower interest rates and do not require a co-signer.
Scholarships and Grants
Scholarships and grants are a free source of financial aid that is available to undergraduate and graduate students. There are two main types of scholarships, which include merit-based awards and those that are income-based. Scholarships may come from a variety of sources, including the school in which a student is enrolled, corporations, industry and trade-related organizations, and non-profit organizations. Merit-based scholarships often require students to write a competitive essay, though other awards may be granted on the basis of other merits. Undergraduate grades, community involvement, or participating in a contest are other common examples of merit-based scholarship requirements. Need-based scholarships and grants are often awarded by schools, though they may be awarded and distributed by corporate, private, and non-profit entities. These awards are based on financial need and take personal and/or family income into consideration and may also consider financial obligations and hardships. The main benefit of receiving scholarship or grant funding is that, unlike loans, recipients are not required to pay the money back.
Employer-Funded Tuition Assistance
Employers also represent a potentially rich source of funding for an advanced degree. Companies have an incentive to invest in the education of their workers as doing so expands workers’ knowledge base, which enables the company to have more educated workers without undergoing the process of hiring new employees to fill higher-ranking positions. Fewer companies now pay full tuition and expenses, but there are still large corporations that do. Other employers offer tuition assistance in the form or matching employee dollars, or those who inquire at their workplace may find that their company offers other variations of tuition assistance.
Military personnel may also receive tuition assistance. The different service branches offer various programs; therefore, members of the military should inquire within their branch of service to determine their eligibility for the different programs that may be available.
Overall, financing a masters degree in business may seem difficult. However, applicants to business schools should begin conducting funding research as soon as possible to take advantage of the many financial resources for which they may qualify.
