On Tuesday, Dan McGinn, a spokesman for the Paterno family announced that the late Joe Paterno earned a state pension of $13.4 million during his 61 years as coach at Penn State. The spokesman also announce that Paterno's wife sue, would receive her first payment, $10.1 million, at the end of May and would receive the rest throughout a period of two years.
Despite the hefty sum of his pension, Paterno's total compensation is fairly small when compared to other famous coaches, considering the fact that Penn State won two national titles with Paterno as coach. His pension package was calculated using a formula that took into account his $240,000 annual salary. For comparison, the annual salary of Alabama State's Nick Saban is more than $4.6 million, while Oklahoma State's Bob Stoops earns about $4 million.
According to McGinn, "Financial gain was never Coach Paterno's top priority. He believed he was forunate to work with great young men at one of the country's premier academic institutions."
Following the receipt of the pension package, Paterno's family plans to donate $1.5 million to Penn State related or State College area charities.