If you’ve saved around $450,000 for retirement, you’re probably wondering: How much monthly income could this generate if I put it into an annuity?
This is a very common question I get — and for good reason. A $450,000 annuity can provide a solid foundation of guaranteed lifetime income, especially if you want peace of mind and predictable cash flow in retirement.
Let’s break down what you can expect, the best payout options available right now, and how to get the most out of your annuity dollars.
Need help choosing the best annuity for your unique situation? Have questions about getting an annuity? If so, it’s best to speak with an annuity specialist. Watch this short video to see how I can help you do this (at no cost to you!)
Tip: See how much an annuity could pay you using our annuity calculator.
Joint Lifetime Income at Age 60
Let’s start with a married couple, both age 60, investing $450,000 into an annuity.
If they chose an income rider, which typically provides the highest guaranteed income for life, one of the top current options (as of this analysis) is from Prudential, paying around:
✅ $29,453 per year — or roughly $2,454 per month, guaranteed for both lifetimes.
That means whether you live to 85, 95, or beyond, that income never stops.
💡 Pro Tip: If one spouse is younger, payouts will be slightly lower because the insurance company is guaranteeing income for a longer potential duration.
👉 Want help finding the best income rider for your age and goals? Schedule a call and I’ll show you side-by-side comparisons.
Deferring Income Can Boost Your Payouts
If you don’t need the income right away, deferring payments can dramatically increase what you’ll receive later.
Here’s what that $450,000 might pay at different ages for a joint lifetime income annuity:
- Start at 60: ~$29,000/year
- Start at 62: ~$35,000/year
- Start at 65: ~$46,856/year
- Start at 67: ~$54,000/year
- Start at 70: ~$71,873/year
By waiting until age 70, you could nearly triple your guaranteed income compared to starting right away.
This growth happens because of guaranteed roll-up rates and income bonuses inside the rider — for example, an 8% simple growth rate plus a 25% income base bonus from certain carriers like Clear Spring.
Top Carriers and Payout Examples
Here’s a quick look at some of the current top-paying annuity companies for a $450,000 premium:
| Company | Best Deferral Age | Approx. Annual Payout | Rating |
| Clear Spring | 70 | $71,873 | A– |
| Delaware Life | 70 | $69,000 | A |
| Nationwide Peak | 65 | $46,856 | A+ |
| Prudential | 60 | $29,453 | A+ |
💡 Pro Tip: Ratings matter, but payout competitiveness matters too. A– rated companies like Clear Spring can sometimes offer significantly higher income, even if they hold slightly less reserve capital than A+ carriers.
What If You Want Fixed Growth Instead of Income?
If your goal is safe growth — not lifetime income — then a MYGA (Multi-Year Guaranteed Annuity) might make sense.
Think of it like a CD alternative, but often with higher rates and tax-deferred growth.
Here’s what $450,000 could grow to with today’s top MYGA rates:
| Term | Company | Rate | Guaranteed Value After Term |
| 5 Years | Knighthead | 5.75% | $600,000+ |
| 7 Years | Knighthead | 5.80% | $640,000+ |
| 10 Years | Royal Neighbors | 6.00% | $768,000 |
That’s solid fixed growth — but remember, MYGAs don’t offer lifetime income. When the term ends, you can renew or move the funds into an income annuity to start withdrawals.
Income Rider vs. MYGA: Which Is Better?
Here’s a side-by-side comparison using the same $450,000:
| Option | Goal | Value After 10 Years | Income for Life |
| MYGA (6%) | Growth only | $768,000 | Not guaranteed |
| Income Rider (8% simple w/ bonus) | Lifetime income | $1,049,000 base | Guaranteed for life |
If your goal is retirement income you can never outlive, the income rider strategy wins every time.
If your goal is growth and liquidity, MYGAs can be a great short-term option.
👉 Want help comparing both options? Schedule a call and I’ll show you the best rates and guarantees side-by-side.
Why These Numbers Matter
You’re essentially buying your own pension.
Annuities give retirees predictable, lifetime income — a powerful safeguard against running out of money in later years. Once you set it up, you can relax knowing part of your income is guaranteed for life, no matter what happens in the market.
Conclusion
A $450,000 annuity can generate anywhere from $2,400/month today to over $6,000/month if you defer income into your late 60s.
It all depends on:
- Whether it’s single or joint life
- When you start taking income
- The carrier and product type you choose
For most retirees, an income rider or deferred income annuity offers the best balance of guarantees and flexibility — especially if you want to lock in lifetime income and still preserve control over your funds early on.
Need help with finding the best annuity for your retirement?
Click here to schedule a call with me.
On the call, I can help you:
- Determine what type of annuity is best for you
- Find the highest paying annuities for your unique situation
- Answer any other questions you may have
Answer any other questions you may haves