Perspectives : Investment | October 09, 2026

Beyond target-date design: How the participant experience supports lifetime income

Vanguard Target Retirement Lifetime Income Trusts combine the familiar target-date framework with access to guaranteed lifetime income. While investment product design is important, retirement outcomes are not driven by product design alone.

Delivering strong retirement outcomes requires an experience that helps participants understand their options and make decisions with confidence. That’s why when you offer the Target Retirement Lifetime Income Trusts in your plan, your participants are supported by an integrated experience that connects education, guidance, and solutions in the moments that matter.

Digital experiences backed by human expertise

With the Lifetime Income Trusts, participants get access to a dedicated product education site. Through this online experience, participants can:

Learn about key product features and benefits.

Model different lifetime income scenarios.

Understand the benefits and trade-offs of guaranteed income.

As participants move closer to retirement, decisions become more complex, so support needs to become more personalized. Participants can connect with a dedicated TIAA lifetime income consultant to ask questions, review personalized income illustrations, talk through next steps, and initiate the annuitization process.

The right support at every stage of the retirement journey

The experience evolves alongside the participant, with each stage focused on what matters most at that point in time.

Enrollment

Participants are defaulted into or elect an age-appropriate Vanguard Target Retirement Lifetime Income Trust.

Early participant communications focus on establishing a clear, foundational understanding of how the Lifetime Income Trusts work, including their role as a diversified target-date strategy with an option for guaranteed income later.

Saving

For most of a participant’s career, the experience mirrors our traditional target-date approach.

Participants continue saving and investing as they normally would, focusing on positive financial habits such as maximizing savings, meeting their employer match, paying down debt, and building emergency savings.

Pre-retirement

Starting around age 55, a portion of the Target Retirement Lifetime Income Trusts begin allocating to the TIAA Secure Income Account without requiring any participant action.

Communications focus on the retirement income decisions that lie ahead. Participants can engage with the dedicated product site to help them understand how guaranteed income may fit into their overall retirement income strategy.

Guaranteed income decision

Upon reaching retirement, participants must consider how to turn their savings into income. They may decide to convert a portion of their balance into lifetime income, and if so, when and how much.

For those considering guaranteed lifetime income, support becomes more hands-on. Participants begin by contacting their recordkeeper to confirm eligibility and discuss next steps. If they want to evaluate guaranteed income more closely, they are connected with a dedicated TIAA lifetime income consultant. The consultant provides personalized income illustrations, helps participants understand payment options, and walks through the implications of annuitizing a portion of their balance. If the participant decides to move forward, the consultant supports the application process, while the recordkeeper facilitates the distribution and transfer of assets to fund the annuity. Once completed, TIAA issues the contract and begins lifetime income payments.

Retirement

Participants who annuitize begin receiving lifetime income payments directly from TIAA. Non-annuitized assets remain invested in the Target Retirement Lifetime Income Trusts and are accessible for withdrawals, systematic distributions, or rollovers. Ongoing communications support participants as they manage their income over time.

Bringing together product and experience

Vanguard Target Retirement Lifetime Income Trusts give participants a structured, optional pathway to lifetime income in retirement. But delivering strong retirement outcomes requires more than a product alone. It requires an experience that helps participants navigate retirement income with confidence.

Contact your Vanguard client team or get in touch using the button below to request a full demo of the Target Retirement Lifetime Income Trusts participant experience.

Want to see a full participant experience demo?

Let’s connect

Related links

Introducing Vanguard Target Retirement Lifetime Income Trusts

Disclosures:

For more information about any fund, visit workplace.vanguard.com or call 866-499-8473 to obtain a prospectus or, if available, a summary prospectus. Investment objectives, risks, charges, expenses, and other important information are contained in the prospectus; read and consider it carefully before investing.

All investing is subject to risk, including the possible loss of the money you invest. Diversification does not ensure a profit or protect against a loss.

Investments in Target Retirement Funds and Trusts are subject to the risks of their underlying funds. The year in the fund or trust name refers to the approximate year (the target date) when an investor in the fund or trust would retire and leave the workforce. The fund/trust will gradually shift its emphasis from more aggressive investments to more conservative ones based on its target date. The Income Trust/Fund and Income and Growth Trust have fixed investment allocations and are designed for investors who are already retired. An investment in a Target Retirement Fund or Trust is not guaranteed at any time, including on or after the target date.

Vanguard is responsible only for selecting the underlying funds and periodically rebalancing the holdings of target-date investments. The asset allocations Vanguard has selected for the Target Retirement Funds are based on our investment experience and are geared to the average investor. Investors should regularly check the asset mix of the options they choose to ensure it is appropriate for their current situation.

Vanguard Target Retirement Trusts are not mutual funds. They are collective trusts available only to tax-qualified plans and their eligible participants. Investment objectives, risks, charges, expenses, and other important information should be considered carefully before investing. The collective trust mandates are managed by Vanguard Fiduciary Trust Company, a wholly owned subsidiary of The Vanguard Group, Inc.

Any guarantees under annuities issued by TIAA are subject to TIAA's claims-paying ability.

The TIAA Secure Income Account is a group annuity contract issued by Teachers Insurance and Annuity Association of America (TIAA), New York, NY. TIAA Secure Income Account interest and income benefits include guaranteed amounts plus additional amounts as may be established on a year-by-year basis by the TIAA Board of Trustees. The additional amounts, when declared, remain in effect through the “declaration year,” which begins each March 1 for accumulating annuities and January 1 for payout annuities. Any guarantees under annuities issued by TIAA are subject to TIAA’s claims-paying ability. The TIAA Secure Income Account is a guaranteed insurance contract and not an investment for federal securities law purposes. Past performance is no guarantee of future performance. Form series including but not limited to: TIAA-UQDIA-002-K, TIAA-STDFA-001-NUV and related state-specific versions. Not all contracts are available in all states or currently issued.

Converting some or all of their savings to income benefits (referred to as "annuitization”) is a permanent decision. Once income benefit payments have begun, the investor is unable to change to another option.

00053692