Judging by the number of retired teachers headed back into the classroom, the adage that 60 is the new 40 certainly seems true. At least in Arizona where placement agencies like Smartschoolsplus are placing retired teachers and principals back in schools on temporary contracts. School districts pay between 75 and 86 percent of the teacher's former salary to the placement agency--which then retains five percent the teacher's salary as a service fee.

There's some obvious perks in the arrangement for all sides. Teachers beef up their monthly income, receiving checks from both Smartschoolsplus as well as their pension. Districts meanwhile pay less towards the teacher's salary than they otherwise would for a teacher with similar experience and none of the benefits. The savings in Scottsdale, Arizona worked out to be just over $11,000 per teacher placed this year. Health insurance benefits are either paid by the school district or in some cases the Arizona State Retirement System.

The state's teacher union isn't thrilled with what it refers to as 'double dipping'--especially since these retirees aren't contributing to the state's pension system given that they are no longer public employees. Union president John Wright has been lobbying to put an end to the practice, suggesting that the positions should be filled by first-year teachers. But in the Avondale school district where two-thirds of the teachers are in their first 3 years of teaching, district administrators are happy to get some experienced hands, especially since the retirees are filling high-shortage subject slots.

Karen Beckvar, president of the Scottsdale Unified school board, urged caution with the new initiative, "Sometimes it's a good thing to retire." True, but we're betting the sour apples aren't lining up for this opportunity.