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The primary benefits are to provide a highly-trained specialty and to allow access to certain professions (like academia). </p>
<p>On the first point, an undergraduate engineering degree trains you to be a generalist with perhaps a bit of extra training in some area - you are not going to be “ready to go” for any but the simplest of engineering positions, and will have to learn a lot on the job. A masters degree gives you a lot of extra training in a narrow specialty as well as (for research degrees at least) a lot of important experience. This makes you more attractive to employers (who will spend less time and money training you) and the expanded education makes it easier to get promoted down the line.</p>
<p>On the second point, there are some professions and specialties that flat-out require a graduate degree. You are not going into academia without at least a masters, a doctorate if you want a tenured gig. Even outside of academia, there are specialties that are too complex to get more than a nod at the undergraduate level - at my company, the antenna design group will not even look at applicants with just the BS.</p>
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This is not an either/or situation. In engineering, if you cannot get someone else to pay for your graduate degree then you probably should not be getting one, so it is reasonable to expect that if you to graduate degree that you will pay no tuition and will draw some type of salary. While you are in grad school, your loans will be deferred just as they were during your undergrad, so you will not be financially stressed by that undergraduate debt. So pick the undergrad institution that is best for you, that gives you a manageable debt (or none at all), and grad school will resolve itself. </p>
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Yes and no. The prestige of the university will matter only to non-engineers - law schools and venture capitalists may be impressed by a Harvard engineering degree, but engineers will generally not be. But some departments do seem to do a consistently better job of educating and preparing engineers, and that is reflected both in rankings and in hiring practices… but not by a tremendous degree. The impact of department on prestige is roughly logarithmic, important for the top few schools but dropping rapidly afterwards.</p>
<p>So I would consider ranking very roughly, and would suggest that (for example) departments ranked 20th and 25th are about the same, but the 5th department will correlate with more opportunity and salary than either, and the 50th department will correlate with less.</p>
<p>And it is very important to compare that to your debt load - the financial advantage of even the best engineering schools quickly fades if they require a substantial amount of loans.</p>