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FACT BRIEF

Does higher teacher pay result in better student performance?

By Todd Butterworth on 02/09/2023

YES

Studies show higher teacher pay can improve teacher quality and reduce turnover, which are associated with improved student performance.

A study of roughly 10,000 school districts, which isolated variables affecting student achievement, found increased teacher pay resulted in a small improvement in student performance. The researchers speculated increased pay attracts higher-quality candidates, boosts retention and heightens morale.

An international study of teacher quality found teachers’ cognitive skills correlate closely with student success. It also found teachers have lower cognitive skills, on average, in countries with better non-teaching job opportunities for women in high-skill occupations and where teachers are paid relatively less than other professions.

American teachers are paid substantially less than their non-teaching college-educated counterparts — a pay gap that has worsened considerably over time. The gap was 23.5% in 2021, up from 6.1% in 1996. 

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