Full Article Link: Yahoo Finance – 4 Retirement Insights Advisors Can’t Ignore for University Faculty
“I think the key is helping them see that retirement doesn’t mean sitting at home doing nothing.”
—Dr. Deon Strickland, PhD, Financial Advisor at Scholar Financial Advising
Key Takeaways
- Professors are retiring later — and on their own terms. Fidelity research found the average retirement age among faculty is 73, with many continuing well beyond. For many, academia offers freedom, intellectual stimulation, and a pace that supports longevity in the profession. As Dr. Strickland explains, it’s not a job most are racing to leave.
- They’re often better funded — but also more equity-heavy. The typical direct contribution plan balance for faculty retirees exceeds $1.6 million, but they also tend to be more aggressively allocated. Advisors should review target-date fund risk levels and consider how delayed retirement may affect RMD timing.
- Identity and fulfillment matter as much as the numbers. Helping faculty reframe retirement as a continuation — not an end — of their intellectual and personal interests is essential. Dr. Strickland emphasizes that planning often centers around how to redirect that academic energy into long-postponed goals like travel, writing, or civic involvement.
- Future benefit sustainability is uncertain. As universities face funding pressures, long-standing retirement perks could change. Advisors working with faculty should be proactive about planning around potential future cuts to pay and benefits.