Page: was published April 2012
Interestingly: The expense for Pilot Training is almost the equivalent to the Average tuition and books for an MBA.
According to MBAprograms.org the average cost for a two year program is 80,000 and some as high as 120,000. How does this compare to Flight Training Costs? According to ATP flight schools the listed price for complete training ranges from 60-65000$. Additionally, a program from Embry-Riddle estimates flight training costs from 46-65000$ depending on how much training is received, on top of an undergraduate cost of 40,000$ per year. Bringing the total Embry-Riddle experience to up over 200-220,000$ for the full program.
Using the models from the pages on Airline Pilot Hiring Demand we can estimate how long it takes for a Pilot trained at today’s costs to make back a given return on investment. To give this Data some relative meaning, we can apply the average wage for a high school graduate and the average wage for a 4 Year College Graduate. The numbers for these two averages are taken from the US 2000 Census.
Average Educational Expenses for a full time College Student (not including food) were obtained from the College Cost tool at CNN. Flight training costs were calculated at about 48000$ spread out amongst the four years of college. The 48000$ was computed from the additional cost incurred for a Student at UVU following the UVU model of training. This included Flight time, required equipment, FAA test fees, and about 1 hour of ground instruction for every hour of flight instruction. This was computed using the best case scenario, 40 hour Private Pilot, 250 hour Commercial, with the minimum required instruction ( a superb student). Obviously only 1 percent of students will fall into this category and most will spend substantially more, but I think it provides a reasonable bottom benchmark for flight training costs.
After Training I have assigned a Two year period for time building as a CFI, or a low wage flight job required to have sufficient time to be hired at a Regional. This wage was estimated at 120 hours of flight and ground pay per month at 15$ an hour. I assume after this two year period, hiring at a Regional such as SkyWest follows. Following our pilot demand model for the next 20 years we assume a five year stint as a First Officer at the Regional, followed by a two year period as Captain. Each Airline Track then apply’s the estimated upgrade time at the Major(displayed below), to determine when upgrade occurs.
To reflect how money in the present is more valuable than money that might be made down the road, I applied a reasonable interest rate. This interest rate is applied to negative and positive balances in the total for each year. The only exception is during the Education Period, where no interest rate penalty was applied, this is in keeping with most student loans.
The Bold and Underlined values are the breakeven point with someone who recieved an average 4 year degree.
| Education | |||
| Instructing | |||
| Regional FO | |||
| Regional CA | |||
| Major FO | |||
| Major CA | |||
Estimated Upgrade Time At Major
United: 11 Years
Delta: 11 Years
American: 9 Years
USAir: 8 Years
Alaska: 13 Years
Interest Rate: 3%
High School |
Graduate |
College Graduate |
Career@ |
Regional |
United |
|||||||
| Year | Wage ($) | Total Value ($) | Wage ($) | Total Value ($) | Wage ($) | Total Value ($) | Wage ($) | Total Value ($) | ||||
| 1 | 30400 | 30400 | -12000 | -12000 | -24031 | -24031 | -24031 | -24031 | ||||
| 2 | 30400 | 61712 | -12000 | -24360 | -24031 | -48783 | -24031 | -48783 | ||||
| 3 | 30400 | 93963 | -12000 | -37091 | -24031 | -74277 | -24031 | -74277 | ||||
| 4 | 30400 | 127182 | -12000 | -50204 | -24031 | -100537 | -24031 | -100537 | ||||
| 5 | 30400 | 161398 | 52200 | 490 | 21600 | -81953 | 21600 | -81953 | ||||
| 6 | 30400 | 196640 | 52200 | 52705 | 21600 | -62811 | 21600 | -62811 | ||||
| 7 | 30400 | 232939 | 52200 | 106486 | 21120 | -43576 | 21120 | -43576 | ||||
| 8 | 30400 | 270327 | 52200 | 161881 | 34560 | -10323 | 34560 | -10323 | ||||
| 9 | 30400 | 308837 | 52200 | 218937 | 36480 | 25847 | 36480 | 25847 | ||||
| 10 | 30400 | 348502 | 52200 | 277705 | 40320 | 66943 | 40320 | 66943 | ||||
| 11 | 30400 | 389357 | 52200 | 338237 | 41280 | 110231 | 41280 | 110231 | ||||
| 12 | 30400 | 431438 | 52200 | 400584 | 67200 | 180738 | 67200 | 180738 | ||||
| 13 | 30400 | 474781 | 52200 | 464801 | 69120 | 255280 | 69120 | 255280 | ||||
| 14 | 30400 | 519424 | 52200 | 530945 | 71040 | 333978 | 27900 | 290838 | ||||
| 15 | 30400 | 565407 | 52200 | 599074 | 73920 | 417918 | 51300 | 350864 | ||||
| 16 | 30400 | 612769 | 52200 | 669246 | 75840 | 506295 | 60300 | 421689 | ||||
| 17 | 30400 | 661552 | 52200 | 741523 | 78720 | 600204 | 68400 | 502740 | ||||
| 18 | 30400 | 711799 | 52200 | 815969 | 80640 | 698850 | 85500 | 603322 | ||||
| 19 | 30400 | 763553 | 52200 | 892648 | 83520 | 803336 | 93600 | 715022 | ||||
| 20 | 30400 | 816859 | 52200 | 971627 | 86400 | 913836 | 95400 | 831873 | ||||
| 21 | 30400 | 871765 | 52200 | 1052976 | 88320 | 1029571 | 98100 | 954929 | ||||
| 22 | 30400 | 928318 | 52200 | 1136765 | 91200 | 1151658 | 114300 | 1097877 | ||||
| 23 | 30400 | 986568 | 52200 | 1223068 | 93120 | 1279328 | 117000 | 1247813 | ||||
| 24 | 30400 | 1046565 | 52200 | 1311960 | 101760 | 1419468 | 117900 | 1403147 | ||||
| 25 | 30400 | 1108362 | 52200 | 1403519 | 103680 | 1565732 | 135000 | 1580242 | ||||
| 26 | 30400 | 1172012 | 52200 | 1497825 | 105600 | 1718304 | 135000 | 1762649 | ||||
| 27 | 30400 | 1237573 | 52200 | 1594960 | 105600 | 1875453 | 135000 | 1950529 | ||||
| 28 | 30400 | 1305100 | 52200 | 1695008 | 105600 | 2037316 | 135000 | 2144044 | ||||
| 29 | 30400 | 1374653 | 52200 | 1798059 | 105600 | 2204036 | 135000 | 2343366 | ||||
| 30 | 30400 | 1446293 | 52200 | 1904200 | 105600 | 2375757 | 135000 | 2548667 | ||||
| 31 | 30400 | 1520081 | 52200 | 2013526 | 105600 | 2552630 | 135000 | 2760127 | ||||
| 32 | 30400 | 1596084 | 52200 | 2126132 | 105600 | 2734809 | 152100 | 2995031 | ||||
| 33 | 30400 | 1674366 | 52200 | 2242116 | 105600 | 2922453 | 152100 | 3236982 | ||||
| 34 | 30400 | 1754997 | 52200 | 2361580 | 105600 | 3115726 | 152100 | 3486191 | ||||
| 35 | 30400 | 1838047 | 52200 | 2484627 | 105600 | 3314798 | 152100 | 3742877 | ||||
| 36 | 30400 | 1923589 | 52200 | 2611366 | 105600 | 3519842 | 152100 | 4007263 | ||||
| 37 | 30400 | 2011696 | 52200 | 2741907 | 105600 | 3731037 | 152100 | 4279581 | ||||
| 38 | 30400 | 2102447 | 52200 | 2876364 | 105600 | 3948568 | 152100 | 4560068 | ||||
| 39 | 30400 | 2195921 | 52200 | 3014855 | 105600 | 4172626 | 173700 | 4870570 | ||||
| 40 | 30400 | 2292198 | 52200 | 3157501 | 105600 | 4403404 | 173700 | 5190387 | ||||
| 41 | 30400 | 2391364 | 52200 | 3304426 | 105600 | 4641106 | 173700 | 5519799 | ||||
| 42 | 30400 | 2493505 | 52200 | 3455758 | 105600 | 4885940 | 173700 | 5859093 | ||||
| 43 | 30400 | 2598710 | 52200 | 3611631 | 105600 | 5138118 | 173700 | 6208566 | ||||
| 44 | 30400 | 2707072 | 52200 | 3772180 | 105600 | 5397861 | 173700 | 6568523 | ||||
| 45 | 30400 | 2818684 | 52200 | 3937545 | 105600 | 5665397 | 173700 | 6939278 | ||||
| 46 | 30400 | 2933644 | 52200 | 4107872 | 105600 | 5940959 | 173700 | 7321157 | ||||
Delta |
American |
US Airways |
Alaska |
|||||||||
| Year | Wage ($) | Total Value ($) | Wage ($) | Total Value ($) | Wage ($) | Total Value ($) | Wage ($) | Total Value ($) | ||||
| 1 | -24031 | -24031 | -24031 | -24031 | -24031 | -24031 | -24031 | -24031 | ||||
| 2 | -24031 | -48783 | -24031 | -48783 | -24031 | -48783 | -24031 | -48783 | ||||
| 3 | -24031 | -74277 | -24031 | -74277 | -24031 | -74277 | -24031 | -74277 | ||||
| 4 | -24031 | -100537 | -24031 | -100537 | -24031 | -100537 | -24031 | -100537 | ||||
| 5 | 21600 | -81953 | 21600 | -81953 | 21600 | -81953 | 21600 | -81953 | ||||
| 6 | 21600 | -62811 | 21600 | -62811 | 21600 | -62811 | 21600 | -62811 | ||||
| 7 | 21120 | -43576 | 21120 | -43576 | 21120 | -43576 | 21120 | -43576 | ||||
| 8 | 34560 | -10323 | 34560 | -10323 | 34560 | -10323 | 34560 | -10323 | ||||
| 9 | 36480 | 25847 | 36480 | 25847 | 36480 | 25847 | 36480 | 25847 | ||||
| 10 | 40320 | 66943 | 40320 | 66943 | 40320 | 66943 | 40320 | 66943 | ||||
| 11 | 41280 | 110231 | 41280 | 110231 | 41280 | 110231 | 41280 | 110231 | ||||
| 12 | 67200 | 180738 | 67200 | 180738 | 67200 | 180738 | 67200 | 180738 | ||||
| 13 | 69120 | 255280 | 69120 | 255280 | 69120 | 255280 | 69120 | 255280 | ||||
| 14 | 53100 | 316038 | 31500 | 294438 | 37800 | 300738 | 43200 | 306138 | ||||
| 15 | 72900 | 398420 | 67500 | 370772 | 40500 | 350261 | 67500 | 382823 | ||||
| 16 | 85500 | 495872 | 81000 | 462895 | 55800 | 416568 | 80100 | 474407 | ||||
| 17 | 88200 | 598948 | 85500 | 562282 | 65700 | 494765 | 88200 | 576839 | ||||
| 18 | 92700 | 709617 | 87300 | 666450 | 78300 | 587908 | 94500 | 688645 | ||||
| 19 | 95400 | 826305 | 90000 | 776444 | 80100 | 685646 | 96300 | 805604 | ||||
| 20 | 100800 | 951894 | 96300 | 896037 | 90900 | 797115 | 98100 | 927872 | ||||
| 21 | 102600 | 1083051 | 99000 | 1021918 | 92700 | 913728 | 99900 | 1055608 | ||||
| 22 | 108900 | 1224443 | 101700 | 1154275 | 85500 | 1026640 | 101700 | 1188977 | ||||
| 23 | 109800 | 1370976 | 143100 | 1332004 | 87300 | 1144740 | 105300 | 1329946 | ||||
| 24 | 113400 | 1525505 | 144000 | 1515964 | 89100 | 1268182 | 107100 | 1476944 | ||||
| 25 | 146700 | 1717971 | 144900 | 1706343 | 90900 | 1397127 | 108900 | 1630153 | ||||
| 26 | 146700 | 1916210 | 149400 | 1906933 | 90900 | 1529941 | 162000 | 1841057 | ||||
| 27 | 146700 | 2120396 | 149400 | 2113541 | 112500 | 1688339 | 162000 | 2058289 | ||||
| 28 | 151200 | 2335208 | 149400 | 2326347 | 112500 | 1851489 | 162000 | 2282037 | ||||
| 29 | 151200 | 2556464 | 149400 | 2545538 | 112500 | 2019534 | 162000 | 2512499 | ||||
| 30 | 151200 | 2784358 | 149400 | 2771304 | 112500 | 2192620 | 162000 | 2749874 | ||||
| 31 | 154800 | 3022689 | 149400 | 3003843 | 112500 | 2370899 | 162000 | 2994370 | ||||
| 32 | 154800 | 3268169 | 149400 | 3243358 | 129600 | 2571626 | 162000 | 3246201 | ||||
| 33 | 154800 | 3521014 | 149400 | 3490059 | 129600 | 2778374 | 162000 | 3505587 | ||||
| 34 | 157500 | 3784145 | 149400 | 3744161 | 129600 | 2991326 | 162000 | 3772755 | ||||
| 35 | 157500 | 4055169 | 156600 | 4013086 | 129600 | 3210665 | 162000 | 4047937 | ||||
| 36 | 157500 | 4334324 | 156600 | 4290078 | 129600 | 3436585 | 162000 | 4331375 | ||||
| 37 | 163800 | 4628154 | 156600 | 4575380 | 144000 | 3683683 | 162000 | 4623317 | ||||
| 38 | 163800 | 4930799 | 161100 | 4873742 | 144000 | 3938193 | 162000 | 4924016 | ||||
| 39 | 163800 | 5242523 | 161100 | 5181054 | 144000 | 4200339 | 162000 | 5233736 | ||||
| 40 | 170100 | 5569898 | 161100 | 5497586 | 144000 | 4470349 | 162000 | 5552749 | ||||
| 41 | 170100 | 5907095 | 161100 | 5823613 | 144000 | 4748460 | 162000 | 5881331 | ||||
| 42 | 170100 | 6254408 | 161100 | 6159422 | 144000 | 5034914 | 162000 | 6219771 | ||||
| 43 | 191700 | 6633740 | 161100 | 6505304 | 144000 | 5329961 | 162000 | 6568364 | ||||
| 44 | 191700 | 7024453 | 161100 | 6861564 | 144000 | 5633860 | 162000 | 6927415 | ||||
| 45 | 191700 | 7426886 | 161100 | 7228510 | 144000 | 5946876 | 162000 | 7297237 | ||||
| 46 | 203400 | 7853093 | 184500 | 7629866 | 144000 | 6269282 | 162000 | 7678155 |
