Graduates of MBA command higher salaries. This is mainly due to the additional knowledge and expertise they have acquired in their advanced studies which companies can really take advantage of.

A survey of some 1,019 companies around the world shows that the estimated starting salary for MBA graduates for 2005 alone is US$78,040. Meanwhile, the estimated total salary package for a new MBA graduate hired in 2004 to 2005 is US$96,657. The Corporate Recruiters Survey done in 2004-2005 also said that those with MBA degrees who take part in an internship program have a good chance of getting hired. In 2005, around one-third of MBA graduates employed had served internships in companies that eventually hired them. This trend was seen in the health care, manufacturing and finance sectors.

Meanwhile, Cox News Service recently revealed that the starting salaries offered to MBA degree holders amount to $90,000 excluding the so-called signing bonus. The bonus, which used to be just for professional athletes, may be 10 percent of the basic salary. Performance bonuses of 15 percent may also be added.

Starting salaries for all MBA graduates from top ranking business schools have gone up this 2006, according to Kent Harrill of AdmissionsConsultants. These, however, may differ based on the areas of specialization. He specifically pointed out that investment banking and management consulting have begun picking up. The Wall Street Journal echoed this reporting that MBA salaries have increased for finance and management consultant firms. Average wages in finance went up 21 percent from $81,114 in 2003 to $98,477 in 2004. Salaries for management consultants also soared 16 percent to $86,233 in 2004. Signing bonuses ranged from $25,000 to $30,000. The signing bonus alone would be enough to pay for a year’s MBA tuition.

The Graduate Management Admissions Council (GMAC), for its part, confirmed that salaries and signing bonuses of fresh MBA graduates have reached a record average of $106,000 in 2005. The GMAC survey of 5,829 MBA graduates in 2005 showed that the salary alone went up to $88,600 exceeding the 2001 record of $85,400. The rising MBA salary is global, according to QS World MBA Tour’s survey. It’s survey found a 10 percent rise in the 2005 average salary and bonus to $114,000.

As for the schools that guarantee their graduates big bucks, the Harvard Business School tops the list based on a survey of 85 business schools conducted by Forbes.com. The survey showed that Harvard graduates earned a five-year gain of $149,000 more than the amount they invested in their MBA tuition and lost salary during the course of their study. It concluded that the percentage return on investment was still excellent regardless of the school were the MBA was earned — either from a top business school or a state school.

Some 1,500 schools around the world are offering MBA programs with China, Russia and India keeping up with the trend. In the U.S. alone, more than 100,000 MBA degrees are granted every year.