The TIAA Loyalty Bonus
The TIAA Loyalty Bonus: Your Reward for Saving Over the Years.
Celebrating your commitment. The exclusive TIAA Loyalty Bonus® rewards your years of dedication with the opportunity for bigger retirement checks.1,2 If you save in TIAA Traditional, you're already part of this legacy.
*Issued by Teachers Insurance and Annuity Association of America (TIAA), New York, NY.
What it is
A reward just for saving with TIAA Traditional
The TIAA Loyalty Bonus is our way of honoring your long-term commitment to TIAA Traditional. This exclusive benefit celebrates participants who consistently save in TIAA Traditional—continuing a legacy that has rewarded dedication for generations. Continue saving throughout your working years to maximize your bonus potential. Long-term contributors to TIAA Traditional have historically received retirement checks 15% higher on average at retirement compared to transferring money in at retirement and selecting lifetime income.3
*Lifetime income payments from TIAA Traditional may include a TIAA Loyalty Bonus which is discretionary and determined annually.
How it works
Your commitment counts: The longer you save, the more your TIAA Loyalty Bonus can grow.
You are automatically eligible for the TIAA Loyalty Bonus when you save in TIAA Traditional.
Build
You become eligible for the TIAA Loyalty Bonus as soon as you begin saving in TIAA Traditional. The longer you save, the higher your monthly retirement checks may be when you retire.
Maintain
As you keep or add to your savings in TIAA Traditional, your TIAA Loyalty Bonus opportunity increases, setting yourself up for a potentially larger check during retirement.
Receive
When you retire, you can turn some or all of your TIAA Traditional savings into monthly retirement checks you can count on for life.4 Your TIAA Loyalty Bonus is automatically added to your regular payments—celebrating your commitment with every check you receive.
Three approaches to retirement income at age 67.
Saving regularly in TIAA Traditional and maintaining your balance is the only way to receive the TIAA Loyalty Bonus. This commitment to long-term saving is what we celebrate and reward. Making that choice can make a significant difference in retirement income. Learn how three retirees use a portion of their savings ($200,000) to start their retirement income.5
Manuel, 67
Withdraws 4% of savings each year
Retirement savings: $200,000
Action: Withdraws 4% annually from his $200,000 retirement savings.
Receives TIAA Loyalty Bonus: No
Year 1 monthly income: $667
Janice, 67
Saves in TIAA Traditional at retirement
Retirement savings: $200,000
Action: Transfers her savings into TIAA Traditional at retirement and activates retirement checks.
Receives TIAA Loyalty Bonus: No
Year 1 monthly income: $1,278
Latif, 67
Saves in TIAA Traditional over 20 years
Retirement savings: $200,000
Action: Saves $200,000 in TIAA Traditional over 20 years and activates retirement checks.
Receives TIAA Loyalty Bonus: Yes
Year 1 monthly income: $1,530
Recognizing long-term commitment: Your Loyalty Bonus grows with you.
The longer participants have contributed to TIAA Traditional, the larger checks have typically been at retirement.*
Based on past historical data, here’s how much participants have received in additional income, depending on how many years they contributed to TIAA Traditional.6
*Past performance is no guarantee of future results.
Our commitment
We share our profits with you, not shareholders.
With no public shareholders, TIAA is uniquely positioned to return profits directly to you—celebrating and rewarding the commitment of TIAA Traditional participants for generations.7
We share profits three ways:
Higher interest rates
Since 1948, TIAA has credited interest above our guaranteed rate so you earn more while saving.
Exclusive TIAA Loyalty Bonus
The TIAA Loyalty Bonus may increase retirement checks when you keep saving in TIAA Traditional over time.
Raises in retirement
TIAA has increased retirement check amounts 18 times in the past 30 years.8
next steps
Looking to grow or begin receiving your TIAA Loyalty Bonus? Start here.
Check your estimated TIAA Loyalty Bonus
Log in to your TIAA account to learn how much you may receive.
Exchange
Swap one or more of your current investments for TIAA Traditional.9
Choose future investments.
Keep what you have now and add TIAA Traditional for incoming money only.
Rebalance
If you have money invested, realign your entire portfolio by investment type or category.10
Annuitize to receive retirement checks and rewards.
If you’re nearing or in retirement, connect with one of our retirement income specialists to learn how to receive your retirement checks and TIAA Loyalty Bonus by annuitizing your account.
If you’re retiring in the next 12 months, call 888-380-6424. If you’re retiring in more than 12 months, call 800-842-2252. We’re here weekdays, 8 a.m. to 10 p.m. ET.
What people ask us.
What is the TIAA Loyalty Bonus?
The TIAA Loyalty Bonus is an exclusive benefit that may be paid to long-term TIAA Traditional contributors like you. It’s the term TIAA uses to highlight the additional income that long-term contributors may receive compared to new contributors if they choose lifetime income (annuitization).
How much is my TIAA Loyalty Bonus?
You can see an estimate of your TIAA Loyalty Bonus at any time by logging in to your online account at tiaa.org and using the
Do I need to do anything to get my TIAA Loyalty Bonus?
Simply by adding to or maintaining your existing TIAA Traditional balance, you may be setting yourself up for a TIAA Loyalty Bonus if you choose lifetime income as your retirement payout option. If you transfer money out of TIAA Traditional or choose not to annuitize, you may forfeit some or all of the TIAA Loyalty Bonus you may have otherwise been eligible to receive.
How is the TIAA Loyalty Bonus paid to me?
The TIAA Loyalty Bonus is included in the payments you will receive when you convert your TIAA Traditional balance to monthly lifetime income. It’s not paid as a lump sum. You can use the
Is my TIAA Loyalty Bonus guaranteed?
While additional amounts of income, including the TIAA Loyalty Bonus, are not guaranteed for future years and will vary, additional amounts have always been a key priority for TIAA. We've given TIAA Loyalty Bonuses for more than 30 consecutive years.
How long do I have to contribute to TIAA Traditional before I'm considered a long-term contributor?
Long-term contributors to
If I have multiple TIAA Traditional accounts with different interest rates, will my TIAA Loyalty Bonus vary between accounts?
The TIAA Loyalty Bonus, if any, is based upon the length of time funds remain in TIAA Traditional. If you contributed to different accounts at different times, the TIAA Loyalty Bonus will vary based on the length of time funds are in each account.
What does “annuitize” mean?
To
A new way to learn about retirement annuities.
TIAA has created a brand-new digital experience to help you understand retirement annuities including how they work, the difference between fixed and variable and how they can offer assurance that you’ll have money coming in for as long as you live.
Give us a call at 800-732-8353, weekdays, 8 a.m. to 10 p.m. (ET), or schedule an appointment.
Any guarantees under annuities issued by TIAA are subject to TIAA's claims-paying ability. TIAA Traditional is a guaranteed insurance contract and not an investment for federal securities law purposes.
1Retirement checks refers to the annuity income received in retirement. Guarantees of fixed monthly payments are only associated with TIAA's fixed annuities.
2Lifetime income payments from TIAA Traditional may include a TIAA Loyalty Bonus which is discretionary and determined annually.
3Based on an analysis of income benefits available to participants who have made level monthly contributions for 30 years to TIAA Traditional, relative to participants who deposited the same accumulated balance into TIAA Traditional just before converting to lifetime income. Assumes a participant age 67, single life annuity with a 10-year guaranteed period, and average payment differentials each month for retirement dates over the last 30 years ending Dec. 31, 2023. Past performance is no guarantee of future results.
4Converting some or all of your savings to income benefits (referred to as "annuitization") is a permanent decision. Once income benefit payments have begun, you are unable to change to another option.
5This illustration is hypothetical and is intended to provide the reader with a general idea of the approximate level of potential change in income based upon the length of time funds are invested in TIAA Traditional. Calculations based on actual historical results. $50,000 contributed to the TIAA Traditional Retirement Annuity on Mar. 1, 2004, accumulated through Mar. 1, 2024 along with $229 monthly contributions. Income based on a single-life annuity with a 10-year guaranteed period at age 67, starting on Mar. 1, 2024. Past performance is not a guarantee of future results. Additional amounts may be declared on a year-to-year basis by the TIAA Board of Trustees. Such additional amounts, when declared, remain in effect for the “declaration year,” which begins each March 1 for accumulating annuities and January 1 for payout annuities. Additional amounts are not guaranteed for periods other than the period for which they were declared.
6Results based on averages for retirement dates each month from 1/1/1995 to 1/1/2025. This chart compares “long-term contributors” vs. “new contributors” to highlight the difference in initial income. The “long-term contributor” represents a participant who has accumulated savings in TIAA Traditional. The “new contributor” represents a participant who has accumulated savings outside of TIAA Traditional. The new contributor annuitizes the same dollar amount as a long-term contributor when both participants reach retirement. The new contributor deposits their savings into TIAA Traditional the day before annuity payments begin, when both the new and long-term contributors are age 67. Both select a single life annuity with a 10-year guaranteed period. 361 individual retirement month cohorts were analyzed. The long-term contributor assumes level monthly premiums over the stated investment periods. Percentage represents the average difference in initial income over each of the time periods for a long-term contributor vs. a new contributor. Past performance is no guarantee of future results.
7TIAA may share profits with TIAA Traditional Annuity owners through declared additional amounts of interest during accumulation, higher initial annuity income, and through further increases in annuity income benefits during retirement. These additional amounts are not guaranteed beyond the period for which they were declared.
8The “new money” TIAA retiree received only 18 raises while the long-term contributor received 19. While since 2006 all retirees have received the same percentage raises, from 1994 to 2005 raises were assigned by vintage, leading to differences between retirees. The actual average annualized raises over the past 10 years was 1.2% for both TIAA retirees, was 0.85% over 20 years for both retirees, and over 30 years was 0.87% for the long-term contributor and 0.83% for “new money.” The average raise in the years it was given over the past 30 years has been 1.4% for both retirees.
9Before exchanging assets, be sure to carefully consider the benefits of both the existing and new product. There will likely be differences in features, costs, surrender charges, services, company strength and other important aspects. There may also be tax consequences or other penalties associated with the transfer of assets. Indirect transfers may be subject to taxation and penalties. Speak with a TIAA consultant and your tax advisor regarding your situation.
10Rebalancing does not protect against loss or guarantee that an investor’s goals will be met.
11IMPORTANT: The projections or other information generated by the Retirement Income Illustrator regarding the likelihood of various investment outcomes, investment allocations and retirement income are hypothetical in nature, do not reflect actual results and are not guarantees of future results. Results may vary with each use and over time.
This material is for informational or educational purposes only and is not fiduciary investment advice, or a securities, investment strategy, or insurance product recommendation. This material does not consider an individual’s own objectives or circumstances which should be the basis of any investment decision.
TIAA Traditional is a fixed annuity product issued through these contracts by Teachers Insurance and Annuity Association of America (TIAA), 730 Third Avenue, New York, NY, 10017: Form series including but not limited to: 1000.24; G-1000.4; IGRS-01-84-ACC; IGRSP-01-84-ACC; 6008.8. Not all contracts are available in all states or currently issued.
Annuity contracts may contain terms for keeping them in force. We can provide you with costs and complete details.