Late Career Start

Professors typically start earning a full salary in their 30s or later due to extended schooling and postdoctoral work.

Delayed and inconsistent savings compress the time horizon for saving and benefitting from compound interest.

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Complex Retirement Plans

Faculty must often choose between defined benefit (DB) pensions and defined contribution (DC) plans with different providers (TIAA, Fidelity, Vanguard, Lincoln Financial, etc.). 

These decisions typically occur early in their career - and are made with little guidance. Those in DB plans, such as state pensions, may not be portable, which may impact professors who move between states or institutions.

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Job Security/Financial Security

Some faculty work at several institutions during their career, and even some simultaneously, making it harder to consolidate retirement savings. And while tenure provides job security, it doesn't always equate to financial security.

Professors may underestimate the need for proactive retirement income planning due to perceived stability of their positions. 

Academic Culture and Identity

The academic identity is deeply tied to intellectual contribution, which can make the idea of retirement psychologically and professionally difficult.

Cultural norms seem to discourage open discussion about retirement planning, creating barriers to knowledge-sharing and preparation.​​​

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