Since its inception in 1985, the pension program for golfers has been described as the best retirement plan in sport. The criteria were achievable: Through the Cuts Plan and the FedEx Cup Bonus Plan, players needed to play in 15 events and make cuts in just as many. For every cut made, they banked a particular sum of money directed towards their retirement. In fact, in 2016, a former player outrightly confessed to Golf Digest that “The two best things about having been on the tour are the pension package and the fact I can play TPC courses for free.” They, of course, didn’t like what followed with the Tour Commissioner Brian Rollap’s entry.

Today, the PGA Tour is trying to allocate resources for the events debuting next season. In essence, it’s returning to being a business – a for-profit enterprise backed by investors like Strategic Sports Group that invested $1.5 billion in the product. At the same time, the PGA Tour Champions is trying to become self-sufficient, considering one major difference in today’s 40-plus-year-old players. While the reasons for axing the $10 million pension plan make sense for both the organizations involved, they certainly don’t sit well with everyone.

“It went from $10 million to $8 million, and now it’s zero,” three-time Champions Tour winner Billy Andrade told Golfweek. “You’ve got all these millions flowing everywhere for Championship Series, this series, that series, for all these leagues this guy [Tour CEO Brian Rolapp] is creating, and then they’re taking this money that has been designated to these Champions players. 

“These are the players who helped make the Tour what it is today and helped create the jobs that executives and current players enjoy. It’s actually criminal.”

Last year, the PGA Tour Champions’ player pension pool was cut by 20%, shrinking from $10 million to $8 million. But the decision comes at the heels of the Tour’s effort to become a for-profit enterprise. It has withdrawn subsidies for the senior circuit’s operational and retirement costs. Meanwhile, a bunch more new tournaments are being added. 

The Portugal Invitational debuted earlier this year with a $3M purse. The Sony Championship Open, formerly the Sony Open, is set to make its debut in Hawaii in 2027, with a $3 million purse. Players will continue to compete for more than $69 million in total prize money across the 2026 PGA Tour Champions season. However, when the pension program was introduced in 1985, retirement benefits played a more significant role in players’ financial security. 

The scheme began with a $250,000 allocation and has always been approved on a year-to-year basis. But today, with players retired from the Tour playing as part of the Tour Champions circuit, they don’t necessarily rely solely on the pension plan. The decision also aligns with what the Tour Champions wants to become in the future.

PGA Tour Champions agrees with the Tour’s latest decision for one reason

Just like the PGA Tour, the Tour Champions is also looking to grow. Many on the board, including several players align with the decision because neither can the Tour run on a deficit nor can they continue to depend on their money. In fact, their President adds one more layer to why cutting ties with the Tour right now could be beneficial for the Champions circuit.

“We’ve gotten to the point where we are making money for the organization, and if we can do better, we can reinvest in ourselves,” Tour Champions President Miller Brady said. “It may take a while, but the financial performance of this tour is as good as it has ever been.”

Brady also promised his players that he will be the one ensuring that their own money grows to the point that they don’t need anyone’s backing. They have already been here when the program was briefly suspended in 2020 amid the COVID-19 pandemic and the money was instead distributed through two Charles Schwab Series events, each carrying a $3 million purse.

Considering that today’s 50-year-olds get another career opportunity to continue earning, this wouldn’t be the worst news. Except, not everyone looks at it that way.

Other Champions players raise their voices against the Tour’s latest pension fund decision

Several golfers were frustrated about the news when they talked to Golfweek’s senior writer Adam Schupak.

“They’re playing for $20 million almost every week [on the PGA Tour] and they can’t afford $10 million for our pension? It’s a bad look, in my opinion, and I think most of the guys out here feel that way,” said David Toms, the 2001 PGA Championship winner who’s an ex-PGA Tour policy board member and this season served on the PGA Tour Champions Player Advisory Council.

Paul Goydos, a former PGA Tour Champions policy board member, offered a more measured perspective. He acknowledged that the pension cut was disappointing but claimed it was understandable given the Tour’s business priorities. But that’s not how the players look at it.

“It’s absolutely terrible what they did to us Champions Tour players,” said Scott McCarron. “To just take it away and not have a way to get it back, I think is terrible. I’m really upset with the leadership of the PGA Tour, [Commissioner] Jay Monahan and Brian Rolapp in particular.

“That (for-profit transition) was the reason. We’ve got to figure out a way to be profitable so we can fund ourselves.”

Regardless of the reasoning behind the decision, senior players will no longer receive the retirement benefits they have relied on in previous years. While losing the pension may not drastically alter their overall financial standing, it would have provided a valuable safety net to fall back on in the event of unexpected financial difficulties. For now, we will be looking forward to how the final story develops.