santoshpulusu
Wow!! So, ISB wants us to spend close to 45-46 lakh just on the program, accommodation and food.
Suppose your pre-ISB net income pre-tax is 15 lakh (Modify as per your salary. Higher will lead to bigger losses)
Scenario 1Total cost of 1 year = 60 lakh
You take a loan at 8.5% for 15 years => You spend 60k every month on EMI.
Median salary post-ISB = 28 lpa. Deduct one-time bonus and other such things (15-20%) => 22 lpa
Deduct EMI =>
Pre-tax income = 15 lpa - which is same as your pre-ISB incomeScenario 2Take a loan and buy a house for 60 lakh in suburbs. Lease it out and calculate the rental value according to your location.
Houses generally appreciate at a faster rate in suburbs. So, evaluate this option
Scenario 3Invest whatever savings you have in Mutual funds. Assume just 10% growth. Still you’ll be better off.
you are comparing apples oranges and rambutans..also, if you’re looking at financial gains immediately after MBA, you won’t get them. The best place in the country to go for an MBA would FMS then.
It’s a medium to long-term play. For e.g. class of 2016’s quoted CTC was around 20-21L and on an average, majority of them are sitting at ~60L packages in India.
And these are purely financial gains, the intangibles aside.