Best Annuities for Guaranteed Retirement Income
There are two real ways to lock in guaranteed retirement income for life: an immediate annuity (SPIA) that starts paying within 30 days, or a fixed indexed annuity (FIA) with a built-in income rider that lets your income grow for years before you turn it on. The right answer depends on your timeline.
How much guaranteed income could your savings produce?
A 60-second walkthrough shows what your monthly income could look like — for both paths — based on your age, amount, and when you need income to start.
The two paths to guaranteed income
SPIA — Single Premium Immediate Annuity
Convert a lump sum into guaranteed monthly income that starts within 30 days. The closest thing to buying yourself a pension.
- • Highest immediate monthly payout for a given premium
- • Income starts now, no growth phase
- • Irreversible — you give up the lump sum
- • Typically not inflation-adjusted
FIA with Income Rider
A fixed indexed annuity with a built-in (or optional) income rider. Your income value grows at a guaranteed rate for years, then you turn on lifetime income later.
- • Income grows during the deferral period (5%-8% roll-up typical)
- • You keep access to the account value
- • Annual rider fee (~0.75%-1.25%)
- • More flexibility than a SPIA
Path 1: Top SPIA Carriers
If you need guaranteed income starting in the next 12 months, these are the carriers consistently offering the strongest combination of payout rates and financial strength.
| Carrier | AM Best | Payout Strength | Payout Options | Min Premium |
|---|---|---|---|---|
| New York Life | A++ | Very competitive | Life, Period Certain, Joint Life | $10,000 |
| MassMutual | A++ | Very competitive | Life, Period Certain, Joint Life, Installment Refund | $10,000 |
| Athene | A+ | Highly competitive | Life, Period Certain, Joint Life, Installment Refund | $10,000 |
Exact payout rates depend on age, gender, premium amount, and payout option. Use our SPIA estimator for a personalized estimate.
New York Life
Largest mutual life insurer in the US. A++ rated, 180+ years in business. The standard when policyholders prioritize carrier strength over peak payout.
MassMutual
Another A++ mutual — consistently among the top payouts. Installment refund option guarantees your beneficiaries get back at least what you put in.
Athene
Frequently leads on payout rates. Apollo-backed, A+ Superior rating from AM Best. Often gives higher monthly income for the same premium than the mutual carriers.
Path 2: Income-Rider Fixed Indexed Annuities
If you don’t need income to start for 3-10 years, an FIA with an income rider lets your guaranteed income value grow before you turn it on — often at a roll-up rate of 5%-8% per year, regardless of market performance. You give up some of the immediate payout strength of a SPIA in exchange for flexibility and growth.
Allianz
Allianz Benefit Control
Largest FIA writer in the country. Strong built-in income benefit — the income value can roll up at meaningful rates even in flat markets. Often the right answer when you want guaranteed income but don't need it to start for 3-10 years.
Athene
Athene Ascent Pro / Performance Elite + Income Rider
Athene's income-rider products (Ascent Pro line) pair their accumulation strength with a guaranteed income floor. A+ Superior rated. Good fit for clients who want growth potential PLUS a backstop income they can't outlive.
For a deeper look at FIAs across all uses (not just income), see our full FIA rankings.
Understanding Payout Options
The payout option you choose affects your monthly income more than the carrier you pick. Here's what each one means.
Life Only
Highest monthly income. Pays for as long as you live. When you pass away, payments stop — nothing goes to beneficiaries.
Best for: Maximizing monthly income when you have other assets to leave to heirs.
Life with Period Certain
Slightly lower income than life only. If you pass before the certain period ends (e.g., 10 or 20 years), your beneficiary receives the remaining payments.
Best for: Balancing high income with a safety net for your family.
Joint Life
Covers two people (usually spouses). Income continues as long as either person is alive. Lower per-person payout since it covers two lifetimes.
Best for: Married couples who both depend on the income.
Installment / Cash Refund
If you pass before receiving back your full premium, your beneficiary gets the difference. Slightly lower monthly income in exchange for this guarantee.
Best for: Peace of mind that you won't "lose" money by dying early.
How much income could your savings generate?
Plug in your age, amount, and preferred payout option to see an estimated monthly income figure. Takes about 30 seconds.
Estimate your SPIA incomeWant the full picture? Read our comprehensive guide: Immediate Annuities (SPIAs) Explained →
Three ways forward — see your numbers, call, or book a deeper conversation.