Analysis
Michigan's mechanical engineering program commands a national reputation, but parents paying premium out-of-state tuition should know that in-state alternatives deliver comparable financial outcomes. Graduates earn $82,823 in their first year—placing them in the 95th percentile nationally but only the 60th percentile among Michigan programs. Michigan State grads actually earn slightly less ($80,259), but that gap is narrow enough to raise questions about ROI when factoring in admission difficulty and likely higher costs for most applicants.
The program's strength lies in its combination of strong starting salaries and manageable debt. The $21,750 median debt creates a debt-to-earnings ratio of just 0.26, meaning graduates can pay off loans in about 3 months of gross income. Earnings grow steadily to $91,187 by year four, a healthy 10% increase that suggests strong career progression. This financial profile works well for the 18% of students receiving Pell grants who gain access to elite engineering education without crushing debt.
For Michigan residents, this represents excellent value—you're getting top-tier credentials at in-state prices. Out-of-state families should weigh whether Michigan's brand advantage in their target industry or region justifies the cost premium over their own state flagship, since the earnings data suggests Michigan's mechanical engineering outcomes, while strong, aren't dramatically superior to peer programs.
Where University of Michigan-Ann Arbor Stands
Earnings vs. debt across all mechanical engineering bachelors's programs nationally
Earnings Distribution
How University of Michigan-Ann Arbor graduates compare to all programs nationally
Earnings Over Time
How earnings evolve from 1 year to 4 years after graduation
| School | 1 Year | 4 Years | Growth |
|---|---|---|---|
| University of Michigan-Ann Arbor | $82,823 | $91,187 | +10% |
| Wayne State University | $74,457 | $94,043 | +26% |
| Kettering University | $79,307 | $91,536 | +15% |
| University of Michigan-Dearborn | $70,688 | $90,069 | +27% |
| Oakland University | $78,213 | $89,376 | +14% |
Compare to Similar Programs in Michigan
Mechanical Engineering bachelors's programs at peer institutions in Michigan (17 total in state)
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| School | In-State Tuition | Earnings (1yr) | Earnings (4yr) | Median Debt | Debt/Earnings |
|---|---|---|---|---|---|
| $17,228 | $82,823 | $91,187 | $21,750 | 0.26 | |
| $15,988 | $80,259 | $87,105 | $24,000 | 0.30 | |
| $46,380 | $79,307 | $91,536 | $28,000 | 0.35 | |
| $32,300 | $78,552 | — | — | — | |
| $14,694 | $78,213 | $89,376 | $25,000 | 0.32 | |
| $41,872 | $77,321 | $89,324 | $27,000 | 0.35 | |
| National Median | — | $70,744 | — | $24,755 | 0.35 |
Career Paths
Occupations commonly associated with mechanical engineering graduates
Architectural and Engineering Managers
Biofuels/Biodiesel Technology and Product Development Managers
Aerospace Engineers
Mechanical Engineers
Fuel Cell Engineers
Automotive Engineers
Engineering Teachers, Postsecondary
Cost Estimators
About This Data
Source: U.S. Department of Education College Scorecard (October 2025 release)
Population: Graduates who received federal financial aid (Title IV grants or loans). At University of Michigan-Ann Arbor, approximately 18% of students receive Pell grants. Students who did not receive federal aid are not included in these figures.
Earnings: Median earnings from IRS W-2 data for graduates who are employed and not enrolled in further education, measured 1 year after completion. Earnings are pre-tax and include wages, salaries, and self-employment income.
Debt: Median cumulative federal loan debt at graduation. Does not include private loans or Parent PLUS loans borrowed on behalf of students.
Sample Size: Based on 277 graduates with reported earnings and 217 graduates with debt data. Small samples may not be representative.