24/7 Insights
- Retirement accounts like 401Ks and IRAs remain the foundation of non-Social Security retirement income for most Americans.
- High-yield savings accounts and CDs are offering strong returns in 2026, with rates around 4%.
- Many retirees continue working in some capacity, whether through traditional employment or flexible gig arrangements.
- Also: Take this quiz to see if you’re on track to retire (Sponsored)
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.
According to a Nationwide Financial Survey, more than four-fifths of people rely on income sources beyond Social Security in retirement. That might be a 401K steadily drawing down over decades, a pension providing guaranteed monthly payments, or even part-time work that keeps you engaged while supplementing your budget. The potential for retirement income exists in at least ten distinct forms.
1. Retirement Accounts
Tax-advantaged retirement accounts form the backbone of post-work income for most Americans. Whether you’ve built wealth in a 401K 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 expect to draw income from these accounts in retirement.
2. Savings
Traditional savings remain a core component of retirement planning for 49% of survey respondents. High-yield savings accounts have become especially attractive in recent years. As of June 2026, rates hover around 4% APY, far outpacing the national average of 0.38% for traditional savings accounts. These accounts remain FDIC-insured and offer liquidity alongside meaningful returns, making them a practical choice for retirees who want both safety and access to their funds.
3. Pensions
Defined-benefit pensions have grown rarer in the private sector, but they remain a vital income source for 29% of those surveyed. Careers in government, education, and certain union jobs still offer these programs, which provide guaranteed monthly payments for life. The certainty of a pension can anchor a retirement budget in ways that market-dependent accounts cannot.
4. Individual Stocks or Bonds
Investors who hold individual stocks and bonds outside retirement accounts can tap into dividends and interest income. Dividend-paying stocks are particularly appealing in retirement, 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.
5. Mutual Funds
Mutual funds spread risk across a diversified portfolio, making them a staple for retirees seeking growth without the volatility of single-stock investments. By pooling your money with other investors, you gain exposure to dozens or hundreds of holdings in one package. At least 19% of those surveyed view mutual funds as a way to balance gains and losses while maintaining steady retirement income.
6. Employment
Retirement no longer means a complete exit from the workforce. At least 17% of survey respondents planned to continue working in some capacity, and federal data supports this trend. According to the Federal Reserve’s 2024 Economic Well-Being report, 15% of retirees worked for pay in the prior month. Some take on roles at nonprofits, 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 it suits your schedule. According to Nationwide, 13% of respondents planned to pursue gig work in retirement. Federal Reserve data from 2024 shows that 9% of all adults engaged in short-term tasks such as ride-sharing, deliveries, or odd jobs, with flexibility ranking as the top 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 those surveyed look to annuities for this 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.
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 2026, the best CD rates cluster around 4% APY for terms ranging from a few months to several years. At least 11% of survey respondents view CDs as a low-risk way to grow retirement funds, particularly when building a CD ladder that staggers maturity dates and provides regular access to cash.
10. Inheritance
Some retirees anticipate receiving an inheritance that will bolster their financial position. At least 10% of Nationwide respondents indicated they expect this income source. Relying on an inheritance carries risk, since the timing and amount are unpredictable. If you’re counting on inherited wealth, it’s wise to have a clear understanding of what you might receive and when, rather than building your entire retirement plan around it.
Editor’s note: This article was updated in June 2026 to reflect current high-yield savings account and CD rates around 4% APY, incorporate Federal Reserve data on retiree employment patterns showing 15% of retirees worked for pay in 2024, and add context on the gig economy’s role in retirement income based on 2024-2025 research.
Top Gaining Stocks
Top Losing Stocks