For years, in-plan retirement income solutions have generated plenty of interest but limited action. That’s about to change. The Institutional Retirement Income Council (IRIC) is forecasting that 2026 will be the year plan sponsors finally move from kicking the tires to putting these solutions into practice.
A recent BenefitsPro article highlighted IRIC’s 2026 outlook, which identifies five major trends shaping the retirement planning industry. IRIC is a membership-based organization working to shift the culture of defined contribution plans from supplemental savings programs to vehicles that provide retirement security through institutional income strategies. The organization is product- and provider-agnostic, supporting guaranteed products, non-guaranteed products, and other drawdown income strategies.
Through 2025, the retirement industry laid the groundwork for in-plan retirement income through an expanding selection of hybrid target-date funds, annuity marketplaces, systematic withdrawal programs, managed accounts with built-in income features, and middleware integrations. In 2026, the focus shifts from product development to broader adoption.
Consultants and advisors will implement standardized fiduciary evaluation frameworks that make it easier for plan sponsor committees to assess, compare, and adopt retirement income options. The industry’s challenge now is moving beyond pilot programs to widespread plan adoption that delivers meaningful participant access and measurable retirement income results.
Improvements in the participant experience will also define the year ahead. Recordkeepers, middleware technology firms, and income solution providers are collaborating to develop more seamlessly integrated and intuitive user interfaces. These tools will allow participants to evaluate, select, and manage income options directly within their DC plan platforms—with a focus on clarity, simplicity, and digital engagement.
Financial wellness programs centered on pre-retiree education and income planning will grow as well. Employers are increasingly taking responsibility for preparing older workers for retirement by offering comprehensive programs that include AI-enabled personalization of income projections, education on Social Security and Medicare elections, retirement paycheck modeling, and tax-aware withdrawal planning tools. Providing access to these programs well in advance of expected retirement gives participants time to evaluate and plan thoroughly.
IRIC also expects workplace retirement plan access to expand, particularly for small business and gig-economy workers. Fintech-powered recordkeeping platforms, the continued growth of multiple employer plans and pooled employer plans, and increased awareness driven by state auto-IRA programs are all contributing to this trend.
Regulatory progress rounds out the forecast. Policymakers are considering actions that would expand the use of alternative investments within DC plans—including private credit, private real estate, and infrastructure—and clarify how these investments can complement traditional allocations. Regulatory reforms could also expand fiduciary relief and create new safe harbors for plan sponsors implementing in-plan retirement income solutions, especially those with guaranteed income features.
