At the height of the financial crisis, it was unclear how diminished 401(k)s and general economic uncertainty would impact retirement trends for baby boomer professors. But new data suggest that professors are either significantly – or indefinitely – putting off retirement, and not just for financial reasons. Experts say the trend is forcing institutions to rethink traditional faculty models.
Some 74 percent of professors aged 49-67 plan to delay retirement past age 65 or never retire at all, according to a new Fidelity Investments study of higher education faculty. While 69 percent of those surveyed cited financial concerns, an even higher percentage of professors said love of their careers factored into their decision.
“While many would assume that delayed retirement would be solely due to economic reasons, surprisingly 8 in 10 — 81 percent — cited personal or professional reasons for delayed retirement,” said John Rangoni, vice president of tax exempt services at Fidelity. “Higher education employees, especially faculty, are deeply committed to their students, education and the institutions they serve.”