College Retirement Equities Fund (CREF) has announced the suspension of its Income Test Drive feature, effective December 31, 2026. This decision is significant as it will halt all withdrawal payments made to participants under this feature, which has provided variable payments for a two-year period through withdrawals from contracts.

The Income Test Drive has been a popular option for participants looking for flexibility in their payment structure. However, CREF has stated that this change will not affect those who have already annuitized under a one-life annuity, two-life annuity, or those in the Accumulation Phase who have not elected the Income Test Drive.

This suspension reflects a broader trend within the investment sector, as firms reassess their offerings in response to market conditions and participant needs. CREF’s decision may prompt other investment firms to evaluate similar features in their products.

Founded in New York, CREF operates under the Central Index Key of 0000777535. The firm primarily focuses on providing investment solutions for retirement, with a variety of contract classes and investment accounts, including the Total Global Stock Account and the S&P 500 Index Account.

The recent filing, dated November 2, 2026, indicates that the Income Test Drive feature will be temporarily discontinued until further notice. CREF has stated, "Effective December 31, 2026, CREF will suspend and temporarily discontinue the Income Test Drive until further notice." This change marks a significant shift in how the fund manages participant withdrawals.

Participants who have relied on this feature for their financial planning may need to adjust their strategies moving forward. The filing does not specify what will happen next regarding the potential relaunch or modification of the Income Test Drive feature.