$ considered, is it still insane to give up HKS for this less known program Technology and Policy at MIT?

[ricebuddy]

The funding decision at HKS was just released, and it put me in my worst dilemma. I received $0 from HKS. Honestly, I never expected a zero financial assistance, since the worst package I received from other schools (SAIS, Fletcher, Gtown MSFS, Goldman, etc) is 20K fellowship....

 

So now my decision is between Kennedy School MPAID + 140K debt after two years, vs this MIT program called "Technology and Policy" which is a free ride + a decent living stipend. 

 

I doubt whether anybody here ever heard of this MIT TPP program. I only applied because one of my friends gave up Princeton WWS for this program (she was very sure of her interest in technology policy). It is a new, interesting, non-traditional program. Well, to this day, I still have a lot of doubt whether such non-traditionalness is too risky for a professional master program. Essentially, everybody in TPP is fully funded, because in addition to taking classes, you are expected to work as an RA in a lab doing semi-research semi-policy work. A typical weekly schedule is 20 hours on courses plus 20 hours in your lab. It sounds weird to be in a lab for a policy program, but it actually makes sense considering the majority of TPP students are interested in energy/transportation/aerospace policy, and most of these policies are really vested in the scientific research in the labs. 

 

The Kennedy School MPA/ID program has always been my first choice, because I am very interested in doing development work and also have good preparation for all the economics/mathematics that program requires. Because of my current job, I took a class within the MPAID program last year as a part-time student, and loved it! Loved its students, its professors, and all the opportunities offered at HKS. With that said, I am also quite interested in technology policies, but I am very unsure whether committing myself to a lab from Day 1 will be too restricting for my future career path. 

 

It will be a much easier choice if the price tags are not so drastically different. I don't know whether I can make rational decisions now, because I keep thinking about the loan amount. Now I start to think of all the positive aspects of MIT: many TPP kids still take classes at HKS (and also Harvard Law School) for free; MIT's name still carries a lot  weight even though TPP's reputation is not as loud as HKS or WWS..... I am so worried if I keep thinking about $, I will eventually talk myself into MIT without carefully comparing other aspects of the two programs. 

 

I am an international student. Given the exchange rate, 140K debt feels like ridiculously high. I was lucky enough to attend a prestigious US college only because it offered a full financial aid package. For my past two years, I worked in the US government with 45K per year, thus did not save at all. I am very sure I want to keep working in the public sector after grad school, and probably also work abroad in poor developing countries, which means even lower pay checks... I don't know how I can pay back 140K debt ever...

 

Advice? Any input will be very appreciated!

 

 

[sherpa07]

Go to MIT.

I'm in a similar situation - admitted to 10 programs, most with decent to abundant aid. The one exception? HKS, where I too got $0. Sure, going to HKS might offer some tiny marginal benefit over this program at MIT. That marginal benefit, though, evaporates in the face of the type of debt Kennedy expects you (and I) to take out. Think of it this way: if you weren't able to save hardly anything on $45K/year, how will you pay off $140K with a slightly higher income? Probably not very comfortably. Also, I don't think you should worry about worrying about money. Worrying about money, within reason, is the smart thing to do.

To me, it's simple. I've read this forum enough, though, to recognize that there are plenty of others who don't feel the same. I'm sure others will chime in and can maybe enlighten (us) about why HKS is worth $140K in debt.

[lbjane]

Just out of curiosity, how in the heck do you think you're going to be able to afford doing development work with $140k in loans?  140k in loans at 6.8% for 10 years is $1600/mo, or $193k total.  Unless you plan on winning the lottery or are independently wealthy, that's not going to be feasible in any sort of development job.

[PrattIAFF]

The name of the school matters not if you're drowning in debt and stressed to the max... usually the fiscally responsible choice is also the best personal and professional choice... It's a lot easier to think about important decisions when you don't have to consider your ball and chain... 

[dyavrom]

you can always apply for the income based repayment program.  most likely will reduce your payments to $500-$700 for 25 years given your income stays constant at around 60k.   

[lbjane]

you can always apply for the income based repayment program.  most likely will reduce your payments to $500-$700 for 25 years given your income stays constant at around 60k.   

 

Well, how likely is it that the person's income will stay at $60k for the next 25 years?  Possible, but not super likely.  For example, if you're working in government, you're probably incompetent (truly) if you're still making $60k 25 years after finishing a masters degree.  Your payments on 140k with 6.8% interest are $541/mo according to the Federal Student Aid site.  If your income goes up to 100k, which is very likely over the course of 25 years, your payment goes up to $1,040/mo.  You're also prolonging the payments from 10 years to 25 years and accruing a lot more interest, which you may well be responsible for paying, depending on what happens with your income. 

 

Also, you're not saving and/or investing those loan payments.  Even if you did stay at $60k for the next 25 years, you'd be paying $541/mo on a 140k loan payment.  If you invested that same $541/mo in an investment with an average 10% rate of return for 25 years, you'd have $723k.  Even if the average rate of return is 5%, you'd have $323k after 25 years.  So, not only are you paying at least $162k in loans and interest, but you're missing out on the chance to put that money to work for you.  Is the HKS degree really going to be worth that much more than the MIT degree? 

[XYZMan]

You can go from the MPA/ID to high paid positions with top management consulting or banking firms.  That's the only situation in which I, put in your shoes, would choose HKS.

 

Even if the specific MIT program is not that well known, MIT itself has a brand recognition equal to (if not greater than) that of HKS.

 

Unless you have wealthy family members/some ability to pay off the loans quickly, that loan is going to be a huge drain for you for a very long time.  I would be going to MIT if I were you.

[IRToni]

Question to the OP: What about the other schools you got accepted to with some funding? Looks like some of them are pretty much as impressive as HKS (SAIS, Gtown, also Berkeley, from what I understand), and they would not require you to specialize so early...

[XYZMan]

Also, consider that MIT's cutting edge technology research is second to none.

 

MIT = reputation + rigor + unparalleled innovation

HKS = reputation + rigor

[CreamTea]

What are your other options? Why is it between MIT and HKS? What about MSFS, SAIS, etc.

 

In my case, I went to Notre Dame for undegrad and borrowed over $80k. I was able to pay off half that by working in finance right after graduation. I don't like working in finance but I am interested in development finance so it was not a big problem for me.

 

If you are the same, it might be worthwhile to work in consulting or finance for a year or two post MPA/ID especially if you live in a country where that gives you a lot of credibility. 

 

However, if you really don't want to do consulting or finance, please consider MIT, MSFS, SAIS, etc.

 

This time around, i don't want to work in finance after grad school just to pay off grad school so financial aid is a huge factor in my decision on which school to attend.

[Alias]

Going to HKS for 140K in debt is not prudent when you also hold an offer from MIT. I think a specialized degree in technology policy is more marketable, and the reputation of MIT carries equal clout and connotes more innovation. Also, technology transfer, infrastructure / transport policy, and change management are very important in (international) development work. You will not lose out by attending MIT. 

 

Congratulations on your success. 

[JSW1]

I have always held MIT in the highest regard out of any school in the entire world.

I would choose MIT. No question given the finances.