Workers with a master’s degree earn more, on average, than workers with only a bachelor’s degree. The gap is real but smaller than some marketing suggests.
The Bureau of Labor Statistics reported that in 2024, full-time workers age 25 and over with a master’s degree had median weekly earnings of $1,840, compared with $1,543 for workers with only a bachelor’s degree. That is roughly a 19 percent premium. The premium varies by field, experience, and location, so treat it as an average, not a promise.
Field choice matters more than the degree alone. Master’s holders in engineering, computer science, and healthcare tend to see larger pay gaps. In fields where a master’s is not standard, the premium can be small or zero.
Cost can erase the gain. A $60,000 degree that raises your pay by $5,000 a year takes over a decade to pay back, before interest. Run the numbers for your situation instead of trusting averages.
The original version of this article credited a “20 percent” figure to the Wall Street Journal and cited NACE, Georgetown, and the American Association of Colleges and Universities. Those attributions could not be confirmed and have been removed. For related reading, compare the master’s versus bachelor’s salary discussion, ask what the salary difference with a master’s degree is in your field, and check how much a master’s increases salary on average. If you are still deciding, read whether a master’s degree will increase your salary in your case.
