Annuity Payout Calculator
Compare different annuity payout options and calculate optimal withdrawal strategies
The Annuity Payout Calculator helps you compare different payout options for your annuity, including life-only, joint-life, period certain, and cash refund options. Understand how each choice affects your monthly payments and total lifetime value to make the best decision for your retirement income.
Annuity Information
Personal Information
Payout Options to Compare
Advanced Settings
Payout Comparison
Select payout options and calculate to compare
Common Scenarios
Single Person
65-year-old, $500K annuity, maximize income
Married Couple
Both 62, $750K annuity, survivor protection
Conservative
70-year-old, $300K annuity, guaranteed period
How Annuity Payouts Work
Payout Options Explained
Factors Affecting Payouts
- Age: Older annuitants receive higher payments due to shorter life expectancy
- Gender: Women typically receive slightly lower payments due to longer life expectancy
- Interest Rates: Higher rates at purchase time result in higher payments
- Payout Option: More guarantees mean lower monthly payments
- Health: Some insurers offer higher payments for impaired health
- Inflation Protection: COLA adjustments reduce initial payments but protect purchasing power
Example Comparison
Scenario: 65-year-old male, $500,000 annuity, 5% interest rate
| Payout Option | Monthly Payment | Annual Income | Break-even Age |
|---|---|---|---|
| Life Only | $3,200 | $38,400 | 78 |
| Life with 10-Year Certain | $3,050 | $36,600 | 79 |
| Cash Refund | $2,900 | $34,800 | 80 |
| Joint & 50% Survivor | $2,750 | $33,000 | 81 |
Frequently Asked Questions
Which payout option is best?
The best option depends on your health, family situation, and risk tolerance. Single people often choose life-only for maximum income. Married couples typically prefer joint and survivor options. Those concerned about early death may choose period certain or refund options.
Can I change my payout option after starting?
Generally, no. Payout elections are irrevocable once payments begin. Some annuities offer a brief "free look" period after purchase, but once the payout phase starts, you cannot change your election.
How do interest rates affect my payments?
Higher interest rates at the time you annuitize result in higher monthly payments. If rates are low, you might consider deferring annuitization if your contract allows, though this involves market risk.