New Vanguard Research Guides Investors on Turning Retirement Savings into Sustainable Income

VALLEY FORGE, Pa., June 2, 2026 /PRNewswire/ -- Many investors find it difficult to confidently turn retirement savings into lasting income. To help address this challenge, Vanguard today released its Principles for Retirement Income research. The paper serves as a practical guide to building sustainable retirement income and helps investors tailor strategies to their unique retirement needs.

"Many investors focus on accumulating wealth but often feel less prepared to turn savings into dependable income during retirement," said Joel Dickson, Global Head of Advised Strategies at Vanguard. "Without a clear understanding of what their retirement savings can support, people often either limit spending out of fear they'll run out of money or overspend in ways that threaten their long‑term financial security and lifestyle. Vanguard's Principles for Retirement Income research is designed to bring clarity and discipline to retirement income—and the spending decisions it supports."

Principles in Practice

At the core of the research is a key insight: a successful retirement plan depends on an investor's goals, how much income their savings can support, and whether that income can be sustained over time. By shifting attention from account balances to sustainable income and personal goals, investors can gain a clearer picture of what their money can realistically support today, and in the years to come.

The research defines four tenets that together offer a simplified way to organize retirement income decisions:

• Start with purpose: Define retirement priorities and goals while accounting for key risks such as inflation, market changes, and unexpected expenses.
• Cover the essentials: Fund baseline needs, including housing, food, and healthcare, with reliable income sources such as Social Security, pensions, or annuities.
• Make your wealth last: Extend the life of the portfolio by reducing taxes and setting a withdrawal approach that balances near-term spending with long-term goals.
• Simplify: Maintain discipline and free up more time to enjoy retirement by automating tasks and revisiting your plan at the right intervals.

"The last day of work is a milestone, but retirement is a long journey shaped by decisions that evolve over time," said Garrett Harbron, Lead Researcher and Head of Advised Wealth Management Strategies at Vanguard. "These principles offer a strong foundation, and when markets, taxes, or individual or family circumstances add complexity, a financial advisor can help investors personalize this approach and guide decision making as their needs change."

Vanguard's Principles for Retirement Income was designed to complement Vanguard's Principles for Investing Success, applying the same disciplined, research-led approach to the decisions investors face when paychecks end and portfolios become their primary source of support. Learn more about Vanguard's Principles for Retirement Income research here.

About Vanguard
Founded in 1975, Vanguard is one of the world's leading investment management companies. The firm offers investments, advice, and retirement services to tens of millions of individual investors around the globe—directly, through workplace plans, and through financial intermediaries. Vanguard operates under a unique, investor-owned structure where Vanguard fund shareholders own the funds, which in turn own Vanguard. As such, Vanguard adheres to a simple purpose: To take a stand for all investors, to treat them fairly, and to give them the best chance for investment success. For more information, visit vanguard.com.

SOURCE Vanguard