One of the greatest financial fears for retirees is outliving their savings. With people living longer and markets becoming more unpredictable, the question isn’t just how much money you’ve saved, but whether that money will last a lifetime. That’s where lifetime income comes into play — a reliable stream of income that continues for as long as you live. It offers not just financial support, but peace of mind, allowing retirees to plan their future with confidence.

So, what exactly is lifetime income? It refers to income sources that continue throughout retirement regardless of how long you live. Common examples include Social Security, pensions, annuities, and certain types of insurance products. Unlike traditional investment accounts that fluctuate with the market, these income streams offer consistency and predictability — qualities that become more valuable as you age and your ability to “recover” from market downturns diminishes.

As people live longer, the risk of outliving assets — known as longevity risk — becomes a serious concern. Inflation adds another layer of complexity, gradually eroding the purchasing power of fixed income sources over time. While investment portfolios can grow and help offset inflation, they also carry the risk of loss, especially if you’re forced to withdraw funds during market downturns. This is where having a portion of your retirement income guaranteed can help stabilize your entire plan.

There are many options for creating lifetime income. Social Security is the most well-known and reliable, but it may not be enough to cover all your needs. Pensions, while less common today, also offer lifetime payments. For many, annuities serve as a private solution, allowing you to convert a portion of your savings into a predictable monthly income. Some annuities even offer inflation protection or income that increases over time. Life insurance-based products can also play a role in generating income, particularly for high-net-worth individuals seeking tax-advantaged strategies.

The key to a sustainable retirement income plan is to strike the right balance. Many advisors recommend covering your essential expenses — housing, food, healthcare — with guaranteed lifetime income, while using more flexible assets like investment accounts for discretionary spending. This “income floor” approach helps ensure that no matter what happens in the markets, you’ll have your basics covered for life.

In today’s uncertain world, lifetime income provides certainty. It’s not about chasing returns, but about creating a retirement built on stability and confidence. If you haven’t already, it may be time to sit down with a retirement specialist to explore how much lifetime income you need — and the best ways to generate it — so you can enjoy retirement on your terms, without constantly worrying about market swings or running out of money.