Annuity Payout Calculator
Calculate the regular payout an annuity or lump sum can provide for a set number of years at a given interest rate — monthly, quarterly or yearly.
For information and education only — not financial advice. Results are estimates based on the numbers you enter; check important decisions with a qualified professional.
How to use
- 1Enter the starting balance, the interest rate and the payout period.
- 2Choose how often payments are made.
How it's calculated
Payment = balance × r ÷ (1 − (1 + r)⁻ⁿ), where r is the rate per period and n the number of payments (end-of-period payments).
Frequently asked questions
Is this how insurance annuities are priced?
Roughly, for period-certain annuities. Life annuities also price in life expectancy and insurer costs, so quotes will differ.
What happens at the end?
The balance reaches zero after the last payment. Enter a longer period for smaller payments that last longer.
Are annuity payments taxed?
Often, partly or fully, depending on the account type. Check with a tax professional.