When it comes to retirement, one of the biggest concerns people have is predictable income they can count on for life. Markets go up and down. Investments fluctuate. But bills don’t stop. That’s where annuities shine — and right now, payouts are some of the strongest we’ve seen in years.
In this article, we’ll break down the best types of annuities for guaranteed, predictable retirement income and how they stack up.
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.
Why Predictable Income Matters in Retirement
Once you stop working, your paycheck disappears. That’s why many retirees fear running out of money more than they fear dying. Having a guaranteed income stream takes that fear off the table.
With the right annuity, you know exactly what you’ll get each month, no matter how long you live.
💡 Pro Tip: Don’t just focus on returns — focus on income that you cannot outlive.
👉 Want help comparing the top payouts? Schedule a call with me here.
Best Annuities for Lifetime Income
If predictable income is your goal, here are the most common annuity options:
1. Income Riders on Indexed Annuities
These are designed to give you the highest guaranteed lifetime income.
- Example: A couple age 60 investing $300,000 and deferring to age 70 could see payouts of $48,000 per year — that’s $4,000 a month for life.
- Even if the account value runs out, the income continues.
2. SPIAs (Single Premium Immediate Annuities)
- Best for those who want income right away.
- You give the insurance company a lump sum, and they start sending you guaranteed checks immediately.
3. DIAs (Deferred Income Annuities)
- Similar to SPIAs, but payouts start later (e.g., buy at 60, start income at 70).
- The longer you wait, the higher your payouts.
MYGAs: Predictable Interest, Not Lifetime Income
MYGAs (Multi-Year Guaranteed Annuities) are the CD alternative in the annuity world.
- Best if you want a guaranteed interest rate for 5, 7, or 10 years.
- Example: $650,000 at 5.9% earns about $38,350 in year one — and compounds to over $1.15 million after 10 years.
- Great for parking money safely, but not designed for lifetime income.
💡 Pro Tip: MYGAs are perfect if you want to keep your options open before locking into a lifetime income strategy.
Factors That Impact Your Payouts
Your annuity income depends on:
- Age when you start income (longer deferral = higher payouts).
- Single vs. joint payouts (joint pays less but covers both lives).
- State of residence (rates vary by state).
- Amount invested (larger deposits = proportionally higher income)
Competition between companies means rates change all the time. That’s why it’s so important to shop across multiple carriers.
Conclusion
Retirement isn’t about chasing the highest returns — it’s about having the confidence that your bills will be paid, no matter how long you live. That’s why annuities are so powerful.
Whether you want lifetime guaranteed income through an income rider or a safe place to grow your money with a MYGA, the right annuity gives you security and peace of mind.
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