The Best Annuity Rates

Shawn Plummer

CEO, The Annuity Expert

Are you researching the best rates for annuities? Annuities are financial products that provide tax-deferred growth and steady income for a retiree. They typically come with a guaranteed rate of return which is often fixed or variable and can be paid out monthly, quarterly, yearly, or even daily. This guide will cover some of the best annuity rates on the market today!

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What is an Annuity Rate?

An annuity rate is a percentage by which an annuity grows each year. The annuity provider sets the rate, usually an insurance company that issues the contract. The provider guarantees an interest rate for a set time period, usually two to 10 years. This growth rate is different from an annuity payout rate, which refers to the payment amounts of regular distributions.

For MYGA and fixed annuity rates, the interest rate is fixed like a CD rate. However, the guaranteed rates make it easy to understand how much money you will get back.

Variable annuities, income annuities, and fixed index annuities are a little more complicated. They do not have a fixed interest rate like other types of annuities. That means people will not find the rates for those products when searching for the best kinds of annuities.

Best Annuity Rates

Best Fixed Annuity Rates for May 2022

Multi-year guaranteed annuities or MYGAs are a type of fixed annuity. They guarantee you will get a specific interest rate for 2-10 years. MYGAs are subject to surrender charges, which an annuity owner must pay if they cancel the annuity before the term is over. However, MYGAs do offer limited liquidity during the term to withdraw income.

The best MYGA rate is 3.2 percent for a 10-year surrender period, 3.25 percent for a seven-year surrender period, 3.05 percent for a five-year surrender period, and 2.60 percent for a three-year surrender period.

MYGA rates change daily.

Best 2-Year Annuity Rates


Best 3-Year Annuity Rates

Canvas 3.80%

Best 4-Year Annuity Rates


Best 5-Year Annuity Rates

Canvas Annuity3.80%

Best 6-Year Annuity Rates


Best 7-Year Annuity Rates


Best Immediate Annuity Rates for May 2022

Immediate annuity payout rates vary based on your upfront payment amount to the insurance company. Specific contract terms, your gender, age, and other factors can also impact this payout rate. You can use an annuity calculator to estimate monthly payments or contact us to help you compare quotes.

Rates are based on a $100,000 annuity. Annuity payouts are annuitized annual payments. Rates change weekly.

PayoutAge 60Age 65Age 70
Single Life$5,016$5,688$6,588
Life with 10 Year Period Certain$4,944$5,532$6,300
10 Year Period Certain$10,515$10,515 $10,515
20 Year Period Certain$6,053$6,053 $6,053

Best Premium Bonus Annuity Rates for May 2022

Annuities can offer a guaranteed sign-on bonus called a premium bonus. In addition, when a new annuity owner purchases their annuity, they may receive a guaranteed rate of return.

Athene Performance Elite17%
American Select Bonus16%
F&G Performance Pro12%
Midland IndexBuilder11%
Athene Performance Elite10%

Best Fixed Index Annuity Rates for May 2022

Fixed index annuity rates are a little bit more complicated than a traditional fixed annuity or MYGA. Index annuities allow annuity owners to choose how they earn interest, a fixed interest rate, or the performance of an index like the S&P 500 or a combination of both.

Fixed indexed annuities are not stock market investments and do not directly participate in an index. Instead, they are insurance policies for retirement and can not lose money in a stock market crash.

These fixed indexed annuity strategies illustrate the highest hypothetical historical rates of return (2010 – 2020). These are non-guaranteed returns. Contact us about the products with these strategies.

Best Indexed Annuity For Growth

Annuity CompanyFixed Indexed Annuity
American EquityAssetShield 10 Annuity
Athene AnnuityPerformance Elite 15 Plus
Midland NationalRetireVantage Annuity
Fidelity and GuarantyPower Accumulator 10

Best Illustrated Fixed Indexed Annuity

ProductRate of Return
2-Year Loomis Sayles Managed Futures PTP Participation Rate13.30%
2-Year CS Tech Edge PTP Participation Rate13.98%
2-Year Nasdaq FC PTP Participation Rate15.60%

Best Lifetime Annuity Rates for May 2022

Lifetime annuities provide annuity owners an income for the rest of their life or the rest of the annuity owner and spouse’s lives, even if the annuity has run out of money.

Rates are based on a $100,000 annuity. The income start dates will be immediate, after five years, or after ten years. Annuity payouts are annual payments.

AgeImmediate5 Years10 Years

Best Short Term Annuity Rates for May 2022

Deferred annuity terms can be as short as two years in length. Here are the best short-term annuity rates.

Oceanview 2 Years2.85%
Canvas Annuity3 Years3.80%
Sagicor4 Years3.70%
Canvas 5 Years3.80%
Sagicor5 Years3.85%


It can be tough to find the best fixed annuity rates, immediate annuity rates, premium bonus annuity rates, and more. But that’s where we come in – we’re here to help you compare quotes from some of the top insurance companies and find the perfect plan for your needs. Request a quote today and see how much you could save!

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Frequently Asked Questions

What is an annuity rate?

Annuity rates are the percentage by which an annuity increases each year. Annuity rates are set by insurance companies. The return rate for annuities is determined by how much money is invested, the interest rate, and the length of the contract.

What is a good rate for an annuity?

After researching 1,107 annuities, the top rate for a three-year annuity is 3.80%. For a five-year, it’s 3.85%, and for a 10-year annuity, it’s 3.85%.

What is the average interest rate on an annuity?

Interest rates depend on the type of annuity you buy. Fixed annuities offer guaranteed returns ranging between 2% and 3.5%, while the interest rates of variable annuities depend on the performance of a connected investment portfolio. Annuities with higher interest rates also carry a greater risk of losing money.

What is the rate of return on an annuity?

Annuities typically offer a fixed rate of return, meaning that your investment will earn a guaranteed interest rate over the life of the annuity. However, some annuities offer variable rates of return, which means that your investment’s interest rate will fluctuate along with the market. Variable annuities generally offer higher potential returns than fixed annuities, but they also come with higher risks.

Which annuity pays the most?

Fixed index annuities pay more than fixed annuities. Variable annuities pay more than fixed index annuities but come with the highest risks.

What is the safest type of annuity?

The safest type of annuity is a fixed annuity. Fixed annuities offer guaranteed returns, which means that you will earn a set interest rate regardless of how the market performs. However, fixed annuities typically offer lower potential returns than other types of annuities.

What is the annuity rate today?

The best MYGA rate is 3.85% for a 10-year surrender period, 3.80% for a seven-year surrender period, 3.80% for a five-year surrender period, 3.50% for a three-year surrender period, and 2.85% for a two-year surrender period.

*Disclosure: Some of the links in this article may be affiliate links. This means that if you purchase a policy, I may receive a commission at no cost to you.

Shawn Plummer

CEO, The Annuity Expert

I’m a licensed financial professional focusing on annuities and insurance for more than a decade. My former role was training financial advisors, including for a Fortune Global 500 insurance company. I’ve been featured in Time Magazine, Yahoo! Finance, MSN, SmartAsset, Entrepreneur, Bloomberg, The Simple Dollar, U.S. News and World Report, and Women’s Health Magazine.

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

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