MBA in accounting salary: What can you make?

The average salary for an MBA in accounting is $103,000 per year,¹ which is roughly 33% higher than the average pay for all accountants.² This highlights the importance of earning an MBA for accounting professionals. Attaining this professional designation won't just potentially boost your salary, but it also can give you a leg up when it comes to competing for a number of lucrative job titles, including chief financial officer, finance director, and financial controller.

Getting an MBA in accounting can boost your salary in one of two ways. First, it can signal to employers that you have a greater depth of knowledge and a more comprehensive skill set than someone with less formal education. This will enable you to negotiate a higher salary for individual contributor roles like staff accountant. But the bigger boost MBAs add to accounting salaries comes from the opportunity to advance into higher-level roles that require an advanced skill set, including many managerial positions.

This article will explore the factors that influence an accountant's salary, and how an MBA in accounting can boost your earning potential.

Factors influencing salary

A number of factors will influence your accounting salary after you graduate with an MBA. That's because compensation for the same role can differ significantly across industries. For example, large technology companies like Facebook, Google, or Apple may pay their accountants more than blue-collar firms like construction or a small business. In addition, private companies may offer higher salaries than government agencies and nonprofit organizations, even when taking job requirements and responsibilities into account.

Certain parts of the country have higher average salaries than others. This is driven in large part by the cost of living. So you may earn more as an accountant in the San Francisco Bay Area than you would in Little Rock, Arkansas, even after controlling for variables like job title, experience, and industry.

The level of experience you bring to the role will also play a powerful part in determining your starting salary. Companies typically pay more experienced candidates higher wages because they tend to have higher levels of productivity and need less training, which can be quite expensive. In a similar vein, leadership roles tend to pay more than entry-level positions because they have a bigger impact on the organization's bottom line.

Average salary ranges

The median entry-level salary for a recent MBA graduate is about $73,000 per year, although bonuses and other forms of additional pay boost the total compensation to $125,000 per year.³ That's across all specialties and job titles.

It's important to remember that salaries can vary significantly depending on the role you choose. Some specialties, such as consulting, command higher salaries than others.³

Your salary with an MBA in accounting will tend to grow as you progress in your career. After about four to six years, you can expect to earn a total compensation package of somewhere between $134,000 and $242,000 per year, while senior-level MBA graduates typically earn between $240,000 and $429,000 per year after gaining 15 years or more of post-degree experience.³

Career advancement opportunities

An MBA in accounting opens up a broad suite of opportunities for advancement into senior leadership. You can use your MBA to help you navigate leadership roles at accounting firms and large corporations by attaining job titles like financial manager, controller, or CFO. Plus, an MBA can help you transition to more strategic managerial or executive positions.

Skills and certifications boosting earnings

You can boost your earnings by gaining additional skills and certifications. Go further by augmenting your abilities with in-demand skill sets, like becoming a Certified Public Accountant (CPA). By attaining a legally protected designation, you'll become a more competitive candidate and have an easier time finding highly paid, interesting work.

It's also a good idea to pick up new skills in emerging areas of technology, like data analytics, financial software, and artificial intelligence (AI). The workplace is always changing, and staying abreast of current trends can help you maintain your viability as a knowledge worker.

Return on investment of an MBA in accounting

One of the potential benefits of earning an MBA in finance or accounting is the opportunity to gain skills and knowledge that can support long-term professional growth. When considering whether business school is the right move, it’s important to weigh a variety of factors, including tuition costs, opportunity cost or lost wages while pursuing the degree, and any interest associated with student loans. An MBA represents a significant commitment of time and resources, and its overall value can look different depending on individual goals and circumstances.

Beyond financial considerations, an MBA may also offer less tangible rewards. Many students value the opportunity to strengthen their leadership capabilities, expand professional networks, and position themselves for broader responsibilities over time. These elements can contribute to a more resilient and fulfilling career path, making the experience rewarding in ways that go beyond short-term calculations.³

Negotiating your salary

To maximize your earning potential, it's important that you understand how to negotiate before you start your job search. Researching market trends and finding out what similar firms are paying for comparable roles can bolster your credibility when you present your opening numbers. In addition, developing the ability to communicate the value of your specialized expertise and leadership abilities can help you command a higher salary during your negotiations.

Finally, consider studying effective strategies for salary and benefits negotiations. Knowing how to ask for what you want will help ensure that you get to where you want to go.

Boost your salary potential with an online MBA in accounting from KU

An online MBA from the University of Kansas will equip you with the skills you need to succeed in today's business world. Our rigorous coursework and well-renowned faculty will help you make the case for a higher salary as you progress in your accounting career. You'll also join the extensive Jawhawk alumni network, which features top-performing professionals at organizations across the country.

Contact one of our admissions outreach advisors today to learn more.