Vanguard is launching a new 401(k) fund that allows the purchase of annuities, aiming to provide guaranteed income in retirement. Annuities offer growth opportunities, tax advantages, but can be complex and costly due to administrative fees and commissions. Total U.S. annuity sales hit a record high of $119.2 billion in Q2 2025. Annuities can be beneficial for retirees concerned about outliving savings or market volatility. However, they may not be suitable for everyone due to their complexity, expenses, and penalties for early withdrawals. Consider other sources of income, calculate costs, and consult a professional before adding an annuity to your retirement plan.

Read more at Yahoo Finance: Is This the Key to Unlocking Guaranteed Income in Retirement?