Google University

Co-worker: “Have you thought about getting your master’s?”

Me: “I received my MBA from Google University.”

Yes and it only took me a minute to get. We live in an information age where information is easily searchable and gathered instantly; but thousands of dollars are spent on an advanced degree. It seems to be the norm for everyone in the job market to have an advanced degree. What’s worse, is having to most likely brown-nose someone else just so you can be considered for the job opening. Why get a master’s degree? Does it really increase our chances of getting a higher paying job?

Depending on the master’s degree whether it’s online or a private university on average could cost $30,000 to $120,000 (thebestschools.org) and a person with a master’s degree earns, annually $8,000 (bestmastersdegrees.com) more than a person with a Bachelor’s degree. And that is not considering taxes yet. Crunch the numbers and weight the cost-benefit: On the low end, graduate school cost $15,000 annually. That is $1,250 a month; the approximate expected salary increase is $700 monthly. The expected salary would really have to far exceed the tuition cost to be beneficial. Why spend thousands of dollars to get a master degree with high chance of going into debt? Spending thousands of dollars on a MBA to be promoted and increase my monthly take home pay (net taxes) by say, $600 (in my organization) is not worth it in my opinion.

Instead thousands of dollars can be put to better use through investing in assets that yield a return or stream of income. Invest the money into index funds or in stocks that pay dividends, sell stock options, build a business around a passion of yours, or buy income property. Of course these subjects can be googled for more information and identify prospective subject matter experts for help. It is more rewarding to invest in assets that yield portfolio or passive income equaling if not more than the amount of income that is expected from having a master’s degree. Because of time compounding you don’t have to physically be there to earn the portfolio or passive income.

In my workplace I have to be cautious when walking down the hall on my bathroom breaks. I don’t want to get pulled over by a co-worker and stand for 15 minutes; and be auditorily forced fed stale and moldy 25 year old advice about a master’s degree and certification. For example, my day job is a government auditor and a co-worker said, “I need to get my CPA”; a certification that will help me get promoted. The degree and certification are on the ubiquitous yet invisible checklist that has to be completed in order to be considered favorable for a promotion. I have heard this same old advice for the six years I have been working. I’m to a point I rather spare my time, cut my co-worker off during mid-sentence, and tell them I know and thanks for sharing.

As I continue to obtain success in my endeavors outside of work I will be blunter. There was not one time I expressed moving up in the organization; I always say, “I will keep my options open.” Do my older co-workers really think I want to grow up and be like them? You have to be mentally challenged to think I have aspirations to advance in an organization for 25 years where there is no ownership or equity involved. Besides I am already an enrolled agent; which is recognized by the IRS as a credible tax practitioner. From a tax perspective, the CPA and enrolled agent can operate in the same capacity. It is like asking me what weighs heavier one pound of cotton or one pound of stone; they both weigh the same. Or it is like asking me what is the difference in the answer for 3+4= and 6+1= there is more than one way to get to the same answer. Obtaining a CPA designation and working as a government auditor in my opinion undermines the certification skill set.

I rather work at my current level save and invest in cash flowing assets. I’m all for education I have a Bachelor’s of Science in accounting but don’t let that index my education level. There are plenty of self-help materials and independent reading that supplement formal education; and experience is the best supplement to education.