Annuity expert reveals monthly amounts here

MEDFORD, OR / ACCESS Newswire / November 18, 2025 / According to Ken Nuss, CEO of AnnuityAdvantage, the size of monthly payments from an income annuity depends on:

• Whether you choose payments starting now or in the future: an immediate or a deferred income annuity.

• Age and sex of the annuitants (the person or persons who will receive the income) at the time the payments start.

• Policy features. Do you want your heirs to get cash back in case you die before the annuity has repaid the premium deposit you paid?

• Whether the annuity covers one life or two, usually a husband and wife.

• The insurance company you choose. Life insurance companies underwrite annuities. It's a competitive market. Some deals are significantly better than others.

• Annuity type. An income annuity produces the most income because it doesn't normally have any cash surrender value, and a portion of the payments during the initial years includes the return of your own money. Fixed-rate annuities, such as MYGAs, produce less income but provide cash surrender value, similar to a bank certificate of deposit.

Immediate income annuity example

With an immediate annuity, you'll typically start receiving monthly payments within about a month of purchase, but you may delay them up to a year. The examples below assume you'll start payments ASAP.

Lifetime payments are the most popular option for good reason. They provide longevity insurance. The payments continue at the same level as long as you live, even after the insurance company has repaid the entire principal.

Here's what you can get with a $200,000 premium deposit of nonqualified funds (money that's not in your IRA or other qualified plan) as of November 2025. These examples are based on the highest-paying companies in AnnuityAdvantage's extensive database.

Joint-life payout, lifetime annuity, male age 65 / female age 65. No cash-refund option

With the joint-life option on a lifetime annuity, payments will continue as long as one spouse is alive. Monthly income is $1,143.76, of which $476.95 is taxable and $666.81 is nontaxable.

After 25 years (at age 90) the initial premium deposit will have been repaid, and payments will become fully taxable.

With the cash-refund option, the monthly income would be $1,100.99.

Deferred income annuity examples

With a deferred income annuity, you can choose when you want your payments to start, as long as you begin taking them by age 85. You'll get a larger income by deferring them, but, of course, you won't be collecting them as long. Again, we're assuming nonqualified funds.

Joint-life payout, lifetime annuity, male age 65 / female age 65, no cash-refund option. Income deferred to age 75.

Monthly guaranteed lifetime monthly payments will be $2,310.35 ($1,298.42 taxable, $1,011.93 nontaxable). After 16.5 years (at age 91), the couple will have recouped their initial premium deposit, and payments will become fully taxable.

With the cash-refund option, the monthly income would be $2,300.43.

Many other options are available. For instance, you can buy an inflation-protected annuity, which pays out less initially but more as the years pass.

"Income annuities offer many choices, and the payouts can vary dramatically," Nuss says. "These unique vehicles, especially lifetime annuities, can uniquely provide peace of mind and assurance that you'll never run out of money, no matter how long you live. "

Ken Nuss is the founder and CEO of AnnuityAdvantage, a leading online provider of fixed-rate, fixed-indexed, and lifetime income annuities. Ken is a nationally recognized annuity expert and widely published author. A free rate comparison service with interest rates from dozens of insurers is available at www.annuityadvantage.com or by calling (800) 239-0356. There are no fees or charges for the firm's services; 100% of the client's money goes to work for them in their annuity.

Media Contact:

Henry Stimpson
Stimpson Communications
henry@stimpsoncommunications.com

SOURCE: AnnuityAdvantage