This paper briefly reviews challenges to psychoanalysis at this time, including those derived from both external, societal origins and internal psychoanalytic problems. It focuses attention on serious conflicts around psychoanalytic education, and refers to the training analysis system as a central problem determining fundamental constraints on present-day psychoanalytic education. These constraints are examined in some detail, and the general advantages and disadvantages of the training analysis system are outlined. The effects of all these dynamics on the administrative organization of the American Psychoanalytic Association are explored, and a proposal for a fundamental reorganization of our educational system to resolve the correspondent problems is outlined.