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Teacher Compensation

Teacher compensation is a powerful tool to strengthen teacher quality. When states and districts invest in competitive, strategic pay systems, they can attract effective teachers, keep them in the classroom, and solve staffing challenges—fostering stronger learning environments.

Teaching Shouldn’t Require a Vow of Poverty

Compensation is a crucial lever to attract high-quality teachers to the profession—and keep them there. In today’s competitive job market, teachers shouldn’t earn significantly less than other college-educated professionals because they chose to dedicate their careers to teaching.

Smart compensation systems can help states, districts, and schools solve challenges. Strategic pay structures can attract strong teachers to high-need schools and shortage areas while rewarding excellence and growth in the classroom. Compensation becomes a powerful tool for getting the right teachers into the right classrooms when used effectively.

States and districts nationwide are already proving that innovative compensation systems work. You can replicate their success in your state or district by designing smart pay systems that strengthen teacher recruitment, improve retention, and boost student outcomes.

Latest Findings

State of the States: Teacher Compensation Strategies

How can states strategically use teacher pay to attract and keep great teachers?

Explore which states support differentiated pay for hard-to-staff positions, reward high-performing teachers, and value prior work experience.

39 states

Differentiating pay can solve shortages

Most states and D.C. sanction the use of monetary incentives to attract teachers to hard-to-staff schools or subject areas.

Explore the Data on Teacher Compensation

Reimagining the Teaching Role: How Strategic Staffing Can Attract and Retain Effective Teachers

Reimagining the Teaching Role: How Strategic Staffing Can Attract and Retain Effective Teachers

Districts are reimagining teaching through innovative staffing models that offer leadership roles and higher pay for exceptional teachers. Explore our analysis of state policies that enable district innovation, learn from successful cases, and get guidance on implementing strategic staffing in your district.

Smart Money 2.0

Smart Money 2.0

How do teacher salaries compare across America? When do teachers earn the most? Which districts offer the highest career earnings?

Our analysis of 90 districts reveals dramatic differences shaping who teaches where.

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Endnotes
  1. Morgan, A. J., Nguyen, M., Hanushek, E. A., Ost, B., & Rivkin, S. G. (2023). Attracting and retaining highly effective educators in hard-to-staff schools (No. w31051). National Bureau of Economic Research.
  2. Theobald, R., Xu, Z., Gilmour, A., Lachlan-Hache, L., Bettini, E., & Jones, N. (2023). The Impact of a $10,000 Bonus on Special Education Teacher Shortages in Hawai‘i. CALDER Working Paper 290-0823.
  3. Cowan, J., & Goldhaber, D. (2018). Do bonuses affect teacher staffing and student achievement in high poverty schools? Evidence from an incentive for national board certified teachers in Washington State. Economics of Education Review, 65, 138-152. https://doi.org/10.1016/j.econedurev.2018.06.010.