We Shouldn’t Pay Teachers for Master’s Degrees

Education |
By Cory Koedel | Read Time 2 min

One of the most consistent findings in education research is that teachers with master’s degrees are no more effective than those without them. This finding has been replicated again and again. Some clever studies have even looked “within teachers” to see if teachers who start teaching without a master’s degree, then get one, improve afterward—they do not.

Paying teachers to get master’s degrees that do not make them more effective is inefficient. Most obviously, it misdirects school district resources—why privilege teachers who get a credential that does not make them better at their jobs when we could use metrics tied to actual performance, or just pay all teachers more? The master’s pay premium also incentivizes teachers to invest tuition money, time, and energy in degrees with no measurable value. And the artificial demand fueled by these policies encourages universities to expand the degree programs themselves. All around, it is a tremendous waste of resources.

A new report released by the National Council on Teacher Quality (NCTQ) describes the current national policy landscape with respect to the master’s degree premium. The report identifies Missouri as one of just 15 states that require districts to pay a master’s degree premium. In fact, we just re-upped the policy in 2024 with Senate Bill 727, which raised minimum teacher pay and maintained a new, higher minimum pay standard for teachers with master’s degrees (and at least 10 years of experience).

The NCTQ report also looked at salary schedules in 140 large districts in the United States, including three in Missouri: Kansas City, Springfield, and St. Louis. All three have large pay premiums for teachers with master’s degrees, especially highly experienced teachers. For example, with 20 or more years of experience the premium exceeds $10,000 annually in all three districts, and it gets as high as $18,600 in Kansas City.

This is a steep price to pay for a credential that has been demonstrated repeatedly to have no connection to classroom effectiveness. It’s time to end this practice.

Thumbnail image credit: |PeopleImages / Shutterstock
Cory Koedel

About the Author

Cory Koedel is a tenured professor of economics and public policy at the University of Missouri-Columbia. His research focuses broadly on the economics of education, and he has spent more than 20 years studying ways to improve school performance. Dr. Koedel’s work has been published in top peer-reviewed academic journals in the fields of economics, public policy, and education, and he has presented his research widely at national conferences, think tanks, and academic institutions. He currently sits on the editorial boards for three academic journals: Education Finance and Policy, Educational Evaluation and Policy Analysis, and Research in Higher Education. Additionally, Dr. Koedel has contributed his expertise as a member of advisory boards and review panels for numerous school districts, state and federal agencies, and non-profit organizations. His significant contributions to the field have been recognized through several honors, including the 2008 Outstanding Dissertation Award from the American Educational Research Association (Division L) and the 2012 Junior Scholar Award from the same organization. He earned his bachelor’s degree in economics and history in 2000 and his PhD in economics in 2007, both from the University of California, San Diego.

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