Retirement income extends well beyond your last paycheck. For most Americans, the money that funds those post-work years flows from multiple streams, each playing a distinct role in covering expenses and maintaining financial security.
The Federal Reserve’s 2024 Survey of Household Economics and Decisionmaking (SHED), published in May 2025, found that 81% of retirees had at least one source of private income on top of Social Security. That income might come from a 401(k) drawing down steadily over decades, a pension delivering guaranteed monthly payments, or even part-time work that keeps you engaged while supplementing your budget. Retirement income, it turns out, takes at least ten distinct forms.
1. Retirement Accounts
Tax-advantaged retirement accounts form the backbone of post-work income for most Americans. Whether you have built wealth in a 401(k) through an employer or contributed to an IRA on your own, these accounts let your money grow through stocks, bonds, dividends, and capital appreciation. At least 52% of those surveyed by Nationwide Financial expect to draw income from these accounts in retirement, making them the single most common non-Social Security income source.
2. Savings
Traditional savings remain a core component of retirement planning for 49% of Nationwide survey respondents. High-yield savings accounts have become especially attractive in this rate environment. As of late June 2026, top-tier high-yield savings accounts offer APYs reaching above 4.2%, far outpacing the FDIC national average of 0.38% for standard savings accounts. These accounts are FDIC-insured and provide full liquidity, making them a practical choice for retirees who want both safety and ready access to their funds.
3. Pensions
Defined-benefit pensions have grown rarer in the private sector, but they remain a vital income source. The Nationwide survey found 29% of respondents planned to rely on a pension, and the Fed’s 2024 SHED report shows that, in practice, 56% of actual retirees received pension income in the prior year. Careers in government, education, and certain union jobs still offer these programs, which provide guaranteed monthly payments for life. That predictability can anchor a retirement budget in ways that market-dependent accounts simply cannot.
4. Individual Stocks or Bonds
Investors who hold individual stocks and bonds outside retirement accounts can tap into dividends and interest income in retirement. Dividend-paying stocks are particularly appealing, delivering quarterly cash flow without requiring the sale of underlying assets. According to Nationwide, 24% of respondents plan to rely on this strategy for supplemental income, a share that reflects how deeply equity culture has taken root among American savers.
5. Mutual Funds
Mutual funds spread risk across a diversified portfolio, making them a staple for retirees who want growth without the volatility of single-stock investing. By pooling capital with other investors, you gain exposure to dozens or hundreds of holdings in a single package. At least 19% of Nationwide survey respondents view mutual funds as a way to balance gains and losses while maintaining a relatively steady income stream in retirement.
6. Employment
Retirement no longer means a complete exit from the workforce. The Nationwide survey found 17% of respondents planned to keep working in some capacity. Federal data backs up that trend: the Fed’s 2024 SHED report found that 15% of retirees worked for pay in the prior month, and 32% had some form of labor income over the prior year. Notably, most of those working in retirement did so for non-financial reasons, with one in ten citing a sense of purpose and social connections rather than financial necessity. Some take on nonprofit roles, consult in their former fields, or pursue passion projects that generate income while keeping them intellectually engaged.
7. Part-Time Gig Work
The gig economy has opened new doors for retirees seeking flexible income. Platforms like Uber, DoorDash, and Rover let you set your own hours and work only when your schedule allows. According to Nationwide, 13% of respondents planned to pursue gig work in retirement. The Fed’s 2024 SHED report found that 9% of all adults took on short-term tasks such as ride-sharing, deliveries, or odd jobs, and 55% of those gig workers said the flexibility was a key benefit.
8. Annuities
Annuities convert a lump sum or series of payments into guaranteed income, offering protection against the risk of outliving your savings. At least 12% of Nationwide respondents look to annuities for that peace of mind. Lifetime annuities pay for as long as you live, while fixed-period annuities provide income for a set number of years. Both options can stabilize a retirement budget when paired with other income streams, particularly for retirees who lack a pension.
9. CDs
Certificates of deposit lock in a fixed interest rate for a set term, typically offering better returns than standard savings accounts. As of June 29, 2026, the highest available CD rate stands at 4.1% APY, with competitive options spanning terms from a few months to several years. At least 11% of Nationwide survey respondents view CDs as a low-risk way to grow retirement funds, particularly when using a CD ladder strategy that staggers maturity dates and provides regular access to cash.
10. Inheritance
Some retirees anticipate that an inheritance will bolster their financial position. At least 10% of Nationwide respondents indicated they expect this income source. Relying on inherited wealth carries real risk, since both the timing and the amount are unpredictable. Anyone counting on an inheritance should build a clear picture of what they might realistically receive and when, and treat it as a supplement to a solid plan rather than its foundation.
Editor’s note: This article was updated in June 2026 to incorporate new data from the Federal Reserve’s 2024 SHED report (published May 2025), including the finding that 81% of retirees had at least one private income source, that 56% received pension income, and that 32% had some form of labor income. CD rate figures were refreshed to reflect a top rate of 4.1% APY as of June 29, 2026, and high-yield savings account rates were updated to reflect top-tier APYs now exceeding 4.2%.
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