Graduate School ROI Rechner — Formel

## How to Calculate Graduate School ROI

Grad school ROI considers both direct costs and opportunity costs.

### Formula

**Total Investment = Tuition + (Current Salary x Program Years)**

**ROI = ((Salary Increase x 10 - Total Investment) / Total Investment) x 100**

**Breakeven = Total Investment / Annual Salary Increase**

Lösungsbeispiel

A 2-year program costing $80,000, current salary $50,000, expected post-grad salary $75,000.

  1. Salary increase = $75,000 - $50,000 = $25,000/year
  2. Opportunity cost = $50,000 x 2 = $100,000
  3. Total investment = $80,000 + $100,000 = $180,000
  4. Breakeven = $180,000 / $25,000 = 7.2 years after graduation
  5. 10-year net gain = $25,000 x 10 - $180,000 = $70,000
  6. ROI = ($70,000 / $180,000) x 100 = 38.9%