Annuity Calculator: How Much Do Annuities Pay Per Month?

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

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Are you in search of an efficient and reliable solution to help you find the best annuity rates for your retirement? Look no further than our annuity quote calculator. With just a few simple steps, you can access personalized annuity quotes from top-rated insurance companies, including Athene, F&G annuities, Allianz, Nationwide, Pacific Life, Oceanview, Americo, and Prudential.

Our calculator compares rates and gives you your actual annuity payout from over 35 insurance companies, offering you time-saving convenience and ensuring that you secure the most favorable rates for your future income needs.

Our annuity calculator is the best financial tool to help you estimate a guaranteed annuity payment for life, starting immediately or deferred for the future. These are not hypothetical estimates like other online calculators. Enter the following to get the latest lifetime annuity fixed income rates:

  • Your Age
  • Your Resident State
  • Premium
  • When you want to start your payout (desired retirement age)
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How Much Do Annuities Pay For May 2024?

The amount that annuities pay can vary significantly based on several factors. These include:

  1. Age of Annuity Purchase: The age at which you purchase an annuity can impact the payout. Generally, the older you are when you buy an annuity, the higher the periodic payments will be, since the insurer expects to make fewer payments due to a shorter life expectancy.
  2. Age When Annuity Payout Begins: This is also crucial. Annuities that start paying out immediately after purchase typically offer lower payments than those that begin payments years later. This is because the money has more time to accumulate interest if the payouts start later.
  3. Time Between Annuity Purchase Date and Payout Start Date: The longer the time between purchasing the annuity and the start of payouts (the deferral period), the larger the payments generally are. This is due to the accumulation of interest or investment gains during the deferral period.
  4. Single Life or Joint Life Payout Options: A single-life annuity typically provides higher payments but only lasts as long as the purchaser lives. A joint-life annuity, often used by couples, will provide payments as long as either partner lives but usually at a lower monthly rate, since the insurer expects to make payments for a longer period.
  5. Resident State: The state of residence can also impact annuity payments. This is because state-specific regulations, prevailing interest rates, and other economic factors can vary, influencing the terms and payouts of annuities.

Each of these factors can significantly influence the amount you receive from an annuity. It’s essential to consider your personal financial situation, life expectancy, and retirement goals when choosing an annuity. Consulting with a financial advisor can also provide tailored insights based on these factors.

How much does a $50,000 annuity pay?

The following table will precisely estimate how much the annual annuity payout will provide for the rest of a person’s life based on $50k for easy math.

  • Age Column = The purchase date
  • Now = Starting the payout immediately.
  • In 5 Years = Starting the payout after five years of deferral.
  • In 10 years = Starting the payout after ten years of deferral.
  • In 20 Years = Starting the payout after twenty years of deferral.
AgeNowIn 5 YearsIn 10 yearsIn 20 Years
40$7,891
45$2,280$4,180$6,013$8,771
50$3,125$4,247$6,531$9,663
55$3,250$4,835$7,195$10,385
60$3,600$5,500$7,927$11,548
65$3,965$5,946$8,508$13,330
70$4,275$6,365$9,313$15,500
75$4,395$7,078

How much does a $100,000 annuity pay?

The following table will precisely estimate how much the annual annuity payout will provide for the rest of a person’s life based on $100k for easy math.

  • Age Column = The purchase date
  • Now = Starting the payout immediately.
  • In 5 Years = Starting the payout after five years of deferral.
  • In 10 years = Starting the payout after ten years of deferral.
  • In 20 Years = Starting the payout after twenty years of deferral.
AgeNowIn 5 YearsIn 10 yearsIn 20 Years
40$11,982$15,783
45$4,560$8,360$12,025$17,542
50$6,250$8,820$13,880$21,195
55$6,500$9,669$14,390$20,770
60$7,200$11,000$15,853$23,490
65$7,930$11,892$17,016
70$8,550$12,730$19,955
75$8,790$14,269$26,242

How much does a $500,000 annuity pay?

The following table will precisely estimate how much the annual annuity payout will provide for the rest of a person’s life based on $500k for easy math.

  • Age Column = The purchase date
  • Now = Starting the payout immediately.
  • In 5 Years = Starting the payout after five years of deferral.
  • In 10 years = Starting the payout after ten years of deferral.
  • In 20 Years = Starting the payout after twenty years of deferral.
AgeNowIn 5 YearsIn 10 yearsIn 20 Years
40$59,910$78,914
45$22,800$41,800$60,127$87,709
50$31,250$44,100$69,400$105,975
55$32,500$48,346$71,952$112,725
60$36,000$55,000$79,267$117,450
65$39,650$59,460$85,080$133,300
70$42,750$63,650$99,775$164,467
75$43,950$71,343

How much does a $1 Million annuity pay?

The following table will precisely estimate how much the annual annuity payout will provide for the rest of a person’s life based on $1,000,000 for easy math.

  • Age Column = The purchase date
  • Now = Starting the payout immediately.
  • In 5 Years = Starting the payout after five years of deferral.
  • In 10 years = Starting the payout after ten years of deferral.
  • In 20 Years = Starting the payout after twenty years of deferral.
AgeNowIn 5 YearsIn 10 yearsIn 20 Years
40$119,820$157,827
45$45,600$83,600$120,254$175,418
50$62,500$88,200$138,800$211,950
55$65,000$96,693$143,904$225,450
60$72,000$110,001$158,535$234,900
65$79,300$118,920$170,159$266,600
70$85,500$127,300$199,549
75$87,900$142,686$262,417

Conclusion And Next Steps

In conclusion, the payout from an annuity is influenced by a combination of factors, including the age at which you purchase the annuity, the timing of when payouts begin, the duration between purchase and payout commencement, the type of payout option chosen (single life or joint life), and the specific regulations of your resident state. These elements collectively determine the income you can expect from an annuity. Therefore, when considering an annuity as part of your retirement plan, it’s crucial to evaluate these factors to your financial needs and objectives. Seeking advice from an annuity broker can also be beneficial in making an informed decision that aligns with your long-term financial goals. Contact us for a quote below.

How Much Will An Annuity Pay Per Month?

Frequently Asked Questions

What is an annuity?

An annuity is a financial product that offers a regular stream of payments in exchange for an initial investment over a specific period. It is often used as a retirement strategy to ensure a steady income later in life. Annuities come in two types, immediate or deferred, and can be fixed or variable depending on when payments commence and how returns are calculated. Insurance companies typically sell them, and the contract terms can vary significantly.

How can an annuity calculator benefit me?

This monthly annuity calculator can help you make informed decisions about your financial future by providing accurate and personalized results to guide your retirement planning.

How are annuity payments taxed?

Annuity payments are taxed by the IRS as ordinary income, with the earnings portion subject to regular tax rates.

Can annuities control how much money you can have monthly?

Yes, annuities can provide a fixed or variable monthly income.

How much does a $10,000 annuity pay per month?

As of May 2024, with a $10,000 annuity, you’ll get an immediate payment of $60 monthly starting at age 60, $66 monthly at age 65, or $72 monthly at age 70.

How much does a $50,000 annuity pay per month?

As of May 2024, with a $50,000 annuity, you’ll get an immediate payment of $300 monthly starting at age 60, $330 monthly at age 65, or $356 monthly at age 70.

How much does a $75,000 annuity pay per month?

As of May 2024, with a $75,000 annuity, you’ll get an immediate payment of $450 per month starting at age 60, $496 per month at age 65, or $534 monthly at age 70.

How much does a $100,000 annuity pay per month?

As of May 2024, with a $100,000 annuity, you’ll get an immediate payment of $600 per month starting at age 60, $660 per month at age 65, or $713 per month at age 70.

How much does a $150,000 annuity pay per month?

As of May 2024, with a $150,000 annuity, you’ll get an immediate payment of $900 monthly starting at age 60, $991 monthly at age 65, or $1,069 monthly at age 70.

How much does a $200,000 annuity pay per month?

As of May 2024, with a $200,000 annuity, you’ll get an immediate payment of $1,200 per month starting at age 60, $1,322 per month at age 65, or $1,425 monthly at age 70.

How much would a $250,000 annuity pay?

As of May 2024, with a $250,000 annuity, you’ll get an immediate payment of $1,500 monthly starting at age 60, $1,625 monthly at age 65, or $1,781 per month at age 70.

How much does a $300,000 annuity pay per month?

As of May 2024, with a $300,000 annuity, you’ll get an immediate payment of $1,800 monthly starting at age 60, $1,983 per month at age 65, or $2,138 per month at age 70.

How much does a $350,000 annuity pay per month?

As of May 2024, with a $350,000 annuity, you’ll get an immediate payment of $2,100 monthly starting at age 60, $2,313 monthly at age 65, or $2,495 per month at age 70.

How much does a $400,000 annuity pay per month?

As of May 2024, with a $400,000 annuity, you’ll get an immediate payment of $2,400 monthly starting at age 60, $2,643 monthly at age 65, or $2,850 per month at age 70.

How much does a $500,000 annuity pay per month?

As of May 2024, with a $500,000 annuity, you’ll get an immediate payment of $3,000 monthly starting at age 60, $3,304 per month at age 65, or $2,850 per month at age 70.

How much does a $600,000 annuity pay per month?

As of May 2024, with a $600,000 annuity, you’ll get an immediate payment of $3,600 per month starting at age 60, $3,965 monthly at age 65, or $4,275 monthly at age 70.

How much does a $700,000 annuity pay per month?

As of May 2024, with a $700,000 annuity, you’ll get an immediate payment of $4,200 monthly starting at age 60, $4,625 monthly at age 65, or $4,988 monthly at age 70.

How much does a $750,000 annuity pay per month?

As of May 2024, with a $750,000 annuity, you’ll get an immediate payment of $4,500 monthly starting at age 60, $4,956 monthly at age 65, or $5,345 annually at age 70.

How much does a $900,000 annuity pay per month?

As of May 2024, with a $900,000 annuity, you’ll get an immediate payment of $5,400 monthly starting at age 60, $5,948 monthly at age 65, or $6,412 monthly at age 70.

How much does a $1 million annuity pay per month?

As of May 2024, with a $1,000,000 annuity, you’ll get an immediate payment of $6,000 monthly starting at age 60, $6,608 monthly at age 65, or $7,125 monthly at age 70.

How much does a $1.5 million annuity pay?

As of May 2024, with a $1,500,000 annuity, you’ll get an immediate payment of $9,000 per month starting at age 60, $9,912 per month at age 65, or $10,678 monthly at age 70.

How much does a $2 million annuity pay per month?

As of May 2024, with a $2,000,000 annuity, you’ll get an immediate payment of $12,000 monthly starting at age 60, $13,217 monthly at age 65, or $14,250 monthly at age 70.

How much does a $3 million annuity pay?

As of May 2024, with a $3,000,000 annuity, you’ll get an immediate payment of $18,000 per month starting at age 60, $19,825 per month at age 65, or $21,333 per month at age 70.

How much does a $5 million annuity pay?

As of May 2024, with a $5,000,000 annuity, you’ll get an immediate payment of $30,000 monthly starting at age 60, $33,041 monthly at age 65, or $35,625 monthly at age 70.

What is an immediate annuity calculator?

An immediate annuity calculator is a tool that helps individuals estimate the income they can receive from an immediate annuity. By inputting certain information, such as age and investment amount, the calculator estimates the monthly or annual payout. It is useful for retirement planning and understanding potential income streams.

What is a fixed annuity calculator?

A fixed annuity calculator is a useful tool that helps individuals estimate the potential earnings from a fixed annuity investment. By inputting details such as initial investment amount, interest rate, and term length, the calculator estimates the annuity’s future value. This allows investors to make informed decisions based on their financial goals and needs.

What does a joint and survivor annuity calculator determine?

A joint and survivor annuity calculator determines the income that two beneficiaries will receive from an annuity. It takes into account factors such as age, life expectancy, and the desired survivorship percentage. By using this calculator, individuals can plan for their retirement and ensure financial security for their loved ones.

How is the Powerball annuity paid out?

The Powerball annuity is paid out as a series of annual payments over 30 years, with an increase of 5% each year to account for inflation. However, winners also have the option to receive a lump-sum payment, which is a smaller amount than the total annuity value but paid out in one go.

What is a life annuity calculator?

A life annuity calculator is a tool that helps individuals estimate the income they can expect to receive from a lifetime annuity. By inputting details such as age, gender, and desired payment frequency, the calculator estimates the regular payments one might receive throughout their lifetime.

What is a pension annuity calculator?

A pension annuity calculator is a tool that helps individuals estimate the income they may receive from an annuity based on their pension savings. It takes into account factors like age, gender, and the size of the pension fund. By inputting these details, individuals can get a rough idea of their potential annuity income.

Are annuities subject to RMD?

Yes, most annuities are subject to Required Minimum Distributions (RMDs) once you reach a certain age, typically starting at age 72. Failure to take RMDs can result in tax penalties. Confirm specific rules with your annuity provider.

Are guaranteed annuities a good investment?

Guaranteed annuities can provide stable income, but whether they’re a good investment depends on individual goals and risk tolerance. They offer predictable payouts but often have lower returns compared to other investments. Consider financial needs, liquidity, and long-term objectives before deciding suitability.

Are annuities paid monthly?

Yes. They can be paid out monthly, quarterly, semi-annually, or annually.

What is the best annuity for me to take for income for the rest of my life?

A fixed indexed annuity with a guaranteed lifetime withdrawal benefit (GLWB) might be the best annuity for generating income for the rest of your life, especially if you’re seeking protection against stock market losses, the potential to earn interest, control over your money, and a death benefit.

How do annuities grow in value?

Annuities grow in value through interest accumulation, investment returns, or index-linked gains. The growth method depends on the type of annuity: fixed, variable, or indexed.

Are annuities indexed for inflation?

Some annuities are indexed for inflation, featuring a cost-of-living adjustment (COLA) to help maintain purchasing power over time. Not all annuities have this feature, so it’s important to check the specific terms.

Who provides the best returns on annuities?

Variable annuities typically provide the best returns, followed by fixed indexed annuities, and then fixed annuities. Returns vary based on market performance and contract terms.

When does an annuity make sense?

Annuities often make sense for individuals approaching retirement, typically between ages 55 and 65.

Are life insurance annuities taxable?

Yes, life insurance annuities are generally taxable. Earnings on the annuity are taxed as ordinary income when withdrawn. However, the principal amount (the initial investment) is not taxed.

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Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Shawn Plummer is a Chartered Retirement Planning Counselor, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

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