Teacher compensation is about more than just salaries. Each year, we track and analyze the full package of teacher compensation data across the 16 states in the SREB region — from salaries to health care and retirement benefits to net take-home pay. Here are highlights from our most recent compensation analysis. 

▼ Explore key takeaways on teacher compensation in the South

Average Teacher Salaries

Average starting salary, average salary and average top salary vary across the SREB region.

Despite a cost-of-living index that averaged 98% in 2023 (compared to 100% for the nation), the South lags significantly behind the nation in overall teacher salaries, paying 15% less than the national average. 

Explore more state-by-state teacher salary data with the Teacher Compensation Dashboard.

Teacher Health Benefits

In 2024, SREB states decreased average premiums for both employee-only and family health plans.

The chart below shows changes to average and median premiums for health benefits (for both individual and family plans) in SREB states.

Use the Dashboard to explore more state-by-state data.  

 

Health insurance packages vary significantly in cost for both employee-only and family plans.

The graphic below demonstrates the different average costs teachers pay in different states depending on their health coverage choices. While some states offer low premiums for individual plans, and a few even have reasonable costs for family plans, other states may have a much larger range of costs. It is important to note that these costs are the average price of all health care available plans to teachers in each SREB state.  

Teacher Retirement Benefits

All states offer pension plans to teachers, and most SREB states have pension tiers with varying benefits for newer teachers. Six states now have portable investment or hybrid plan options for some teachers, allowing younger teachers to save more. Investment plans can serve as a cost-saving measure for state budgets by lowering total unfunded liabilities. 

SREB calculates a gross annual pension benefit for teachers for each plan by state. The chart below shows the changes in the regional average gross annual pension benefits for teachers eligible for retirement. Nearly all states have lower pension benefit formulas for newly hired teachers, which reduces newer teachers’ gross benefit earning capability. 

Note: SREB calculates the typical gross annual pension benefit for a teacher in each state at age 65 with 30 years of service (not including Social Security). SREB is unable to calculate potential gross annual investment or hybrid plan benefit due to the high number of variables related to investments and returns. 

Teacher Take-Home Pay

SREB calculates typical take-home or net pay for teachers in each state at different stages in their career. 

Note: SREB calculates typical net pay for teachers in each state at different stages of their career (gross salary minus benefit costs and taxes) using standard assumptions for age, family, tax status and health needs. 

Sample District Teacher Compensation & Local Economic Data

To show how local teacher compensation varies across districts, SREB collected data from a non-representative sample of 48 rural, suburban and urban school districts across the 16 SREB states to look at teachers’ take-home pay in different contexts. Additionally, local economic and cost of living data is included in our analysis to examine how far teachers’ paychecks stretch and the financial implications of their compensation packages. 

Teacher Salaries in Sampled Rural, Suburban and Urban Districts 

At first glance, average district teacher salaries across the 48 districts do not appear to have a huge range difference. Rural district salaries average $56,262 per year, while suburban and urban districts increase to $60,707 and $63,874, respectively. The average pay discrepancy between the rural and urban districts was over $7,600 – a 14% difference.  

Teacher Pay by Experience and Education Level in Sample Districts

Teachers with greater experience or more education in the urban districts earned more than their rural and suburban counterparts. Teachers in the urban districts with master’s degrees realized around a $16,500 increase in pay on average after 15 years of service. Those in suburban districts realized a nearly $14,000 increase, and in rural districts about an $11,000 increase.    

Teachers with a bachelor’s degree experienced similar differences. With 15 years of service, teachers with bachelor’s degrees in the urban districts earned nearly $16,000 more, while the suburban teachers earned around $13,000 more. Rural teachers earned around $9,000 more.

 

Teacher Health Insurance Costs Across Sample Districts 

States and districts offer various health benefit options and coverage levels at widely different costs.  

Note: HMO plans selected had the lowest premiums available, but higher deductibles and out-of-pocket costs. PPO plans selected had moderate premiums with a wider network of coverage, as well as lower deductibles and out-of-pocket costs.

Teacher Take-Home Pay Across Sample Districts

The average gross teacher salary across the 48 sample districts was $60,209, while take-home pay averaged $40,930 after deductions. After basic living costs for housing, groceries, utilities, transportation and out-of-pocket health costs, teachers across the 48 systems would have an average of $1,259 per month discretionary income for savings and expenses such as child care and household costs. Rural teachers in the sample districts had the highest percentage of discretionary income, an average of 27% across the 48 systems. 

Spotlight: 3 Sample Maryland Districts

Note: Basic living expenses refers to the county’s average cost of housing, groceries, utilities, transportation and health care.