*Results based on small bases (N=50–99)
The MetLife 2026 Paycheck or Pot of Gold Study highlights important trends in how retirees approach lump sum withdrawals and guaranteed income options. Retiree findings show that those who take lump sum withdrawals typically deplete their savings in about 4½ years,* and around half of those with remaining funds worry they will run out. In contrast, retirees receiving guaranteed monthly income report much greater stability, with nearly all annuity recipients expressing satisfaction and stating benefits such as easier budgeting and predictable income.
The findings below outline key differences between retirees who chose lump sums versus those who selected an annuity.
Lump sum outcomes for retirees
Annuity outcomes for retirees
All data is from the MetLife 2026 Paycheck or Pot of Gold Study.
percentage of annuity retirees who report greater flexibility to pursue more aggressive investment strategies with their other assets
percentage of annuity retirees who feel financially better off receiving regular monthly payments rather than a lump sum
Annuitants believe they are better off financially
percentage of retirees who say a monthly “retirement paycheck* is very important or essential for paying bills
percentage of annuity retirees who say they help create more predictable budgets
percentage of annuity retirees who say it makes it easier to pay for basic necessities
Annuities offer financial stability and predictability
of annuity retirees are happy with their decision to take monthly payments, noting it boosts financial security (94%) and offers peace of mind (92%)
High annuity satisfaction
93%
percentage of lump sum retirees who gave away a sizable portion of their money regret doing so
percentage of lump sum retirees who made a major purchase in their first year had regrets spending the money
First-year spending causing regret
percentage of retirees* who depleted their lump sum report financial hardship
nearly all who have nothing left and experienced a financial hardship (98%)* say additional retirement income could have prevented it
Depletion causing financial hardship
51%
1 out of 5 retirees who took a lump sum have already depleted it, with an average depletion time of 4.4 years*
Lump sums being depleted quickly
93%
92%
86%
61%
55%
46%
percentage of lump sum retirees who wish they had chosen an annuity (when offered)
90%
89%
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The value of guaranteed monthly income
Together, these findings highlight the critical role that predictable, guaranteed income can play in helping retirees maintain long-term financial stability.
Read the full study for more insights: metlife.com/2026paycheckstudy