Is a Business Degree Worth It? Your 2025 Guide

Any degree you earn will require some level of investment, whether that’s measured in money, time, or energy. On the other end of that investment should be a payoff—increased earning potential, new skills, or movement toward your career goals, to name a few.

In general, a business degree tends to be a worthwhile investment. Learn how you can assess the various areas of potential gain to determine whether a business degree may be worth it for you. Afterward, begin building your business knowledge with the University of Pennsylvania's Business Foundations Specialization.

What is a business degree?

There are many types of business degrees spanning all levels of higher education. However, when someone refers broadly to a business degree, they are generally talking about a bachelor’s degree in any area of business. At that level, it's possible to earn generalist business degrees in areas such as business administration or business management, or specialist business degrees in areas such as marketing or finance.

Is a business degree worth it?

Majoring in business remains among the more popular options at the undergraduate level thanks to the high employability and versatility of the degree. In a business program, you'll learn business fundamentals while honing valuable analytical, leadership, and problem-solving skills. Business degrees also offer the flexibility to specialize in finance, marketing, management, or entrepreneurship through concentrations or electives.

One way to decide whether a business degree is worth it is to look at your potential return on investment (ROI), which is essentially a comparison of your likely long-term gains against your short-term expenditures. Since it’s not possible to quantify certain aspects of your business degree—things like skills gained and networking opportunities—ROI typically deals with the financial aspects of value.

According to an analysis from ​​The Education Data Initiative, business degrees have a positive ROI of 1,033.41 percent and typically pay for themselves after an average of eight years of professional experience [1]. That means the vast majority of the time, business degree holders make more money because of their degree than they spent earning it. These numbers sound promising, but remember that they are generalizations, not guarantees. 

Learn more: What Can You Do with a Business Degree?

Benefits of getting a business degree

A ZipRecruiter survey found that business is one of the least-regretted college majors among job seekers [2], indicating that business majors generally feel satisfied with what their degree afforded them. These degrees tend to be flexible, come with valuable career resources, and can lead to further business opportunities.

Higher starting salaries

According to the US Bureau of Labor Statistics (BLS), the median annual wage for business and financial occupations as of May 2023 was $80920, significantly higher than the median annual wage across all occupations. Additionally, jobs in this sector are projected to grow faster than average between 2023 and 2033 [3].

Required credential

The majority of occupations included in this category—including financial analysts, market research analysts, and human resources specialists, to name a few—require a bachelor’s degree as the entry-level education, and getting a degree in business could position you to move into these lucrative career paths.

More lifetime earnings

Business degree holders tend to earn more money than bachelor's degree holders across all fields of study. According to the BLS, people with a business degree earn a median salary of $71,000, while people holding a bachelor's degree in any field earn a median salary of $66,000 [4].

Transferable skills

Beyond the potential financial gains, people who complete a business degree program may find a somewhat unique level of flexibility in its applications. Business is present in nearly every modern industry, meaning degree holders have the option to apply their business degree to just about any area of industry.

Some transferable skills business degree holders may learn in the classroom include:

• Communication

• Adaptability

• Teamwork

• Leadership

Career resources and networking opportunities

Additionally, business school can be a great place to plant the seeds for your future success. Many undergraduate programs have career resource centers and extensive alumni networks that can be useful both while earning your degree and after you graduate. You may find opportunities to secure internships or learn directly from people who were once in the same place you are now.

Relationship building

If your long-term goals involve seeking a graduate degree, such as a Master of Business Administration (MBA), setting the foundation with an undergraduate business degree can be a useful step. Although a business degree is generally not a prerequisite for earning an MBA, you may make some valuable connections with faculty who can serve as long-term business mentors or may later write your MBA letter of recommendation.

Typical business degree timeline and cost

Typically, it takes students about four years to earn their business degree when they can attend full-time. Business degree seekers face some costs in exchange for the benefits mentioned above. On a financial level, that cost can range greatly depending on the school you attend. According to research from the College Board, the average tuition and fees for the 2024-2025 school year are [5]:

• $11,610 for a public four-year in-state school

• $30,780 for a public four-year out-of-state school

• $43,350 for a private nonprofit four-year school

It's also possible to earn your business degree online, making it more flexible to work through your studies while attending to other obligations, like work or family responsibilities.

Earn your business degree on Coursera

To get a better sense of what a business degree might entail, enroll in one of the University of London’s open online courses, Business Sustainability in the Circular Economy, which is part of its BSc in Business Administration. Or explore other bachelor's degrees in business or MBAs available through esteemed university partners on Coursera.