There was a time in India, and may still be, when parents wanted their children to pursue engineering, MBA, and professional degrees in addition to medicine. They spend millions of their hard earned money and in many cases take loans in the hope that their children will have a better financial future. However, this belief is now being tested. India’s most sought-after degrees have a poor return on investment, according to a recent report.Finance’s Global Economic Outlook 2026 shows massive returns on investment crunch in engineering, MBA, and professional degrees, even from India’s top institutions, making one wonder if it’s worth pursuing an A-list college or spending a fortune on them.What does the report say?According to the report, a four-year B.Tech degree can cost around Rs 34.1 lakh. However, the average starting salary of such graduates is only Rs 4.74 lakh per annum.The same is the situation in management education. Placement data from top B-schools shows that the average salary in many institutions has either remained flat or declined. Additionally, according to the In-Stop Talent Report 2025, 46% of B-school graduates and 83% of engineering graduates entered the job market without a job or internship in 2025.Professional courses also face similar challenges. Entry-level salaries have not increased accordingly, with fallback roles offering around Rs 3-5 lakh per annum. Higher salaries exist in senior roles, but are limited and require years of experience to reach.Overall, the report shows that the gap between the cost of education and the returns it provides is widening across all degrees. Rising fees, limited job opportunities and slow wage growth are making it difficult for families to recoup their investment. It also shows that a degree alone is no longer a guarantee of financial stability. For many, the focus may need to shift from simply getting into a top college to choosing courses and skills that actually match current job market demand.How to choose the right career?Today choosing a career with better returns is no longer just about getting a degree. It’s about understanding what skills are in demand and what kinds of jobs those skills can lead to. The India Skills Report 2026 by ETS, CII, AICTE and AIU shows that employment in India now depends on digital skills, exposure to AI and how job-ready a person is, rather than their educational qualifications. A job report cited by Coursera points in the same direction, noting that most Indian employers now prefer candidates with relevant skills, especially in areas like AI and technology, over those with just traditional experience.
