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Retirement

Annuity Payout Calculator

See the level monthly income a lump sum can generate over a fixed period. This is a period-certain payout that draws the balance to zero over the term while the remaining balance keeps earning.

Your details

Monthly payout
$3,299.78
Annual payout
$39,597.34
Total paid out
$791,946.89

Principal vs interest

$791.9KTotal
Principal
$500,000.0063%
Interest earned
$291,946.8937%
Monthly payout$3,299.78

Formula

The monthly payout is the level payment that amortizes the principal to zero over the term at the given rate — the same math as a loan payment, but you're the lender receiving it.

How it works

Because the un-paid balance keeps earning, the total paid out exceeds the principal. A higher rate or shorter term raises the monthly check. Real annuity products also add fees and options like lifetime or survivor payouts, which change the figures.

Frequently asked questions

How much does an annuity pay per month?

It depends on the amount, the growth rate, and the payout period. This shows the level monthly payment that would exhaust the balance over the term you choose.

Is this a lifetime annuity?

No — this is a period-certain payout over a fixed number of years. Lifetime annuities pay until death and are priced using mortality tables and insurer fees.

Why is the total more than what I put in?

Because the money that hasn't been paid out yet keeps earning the growth rate, so the payments add up to more than the original principal.

Sources & methodology

Period-certain amortized payout. Excludes insurer fees, inflation riders, and lifetime/survivor options. Not financial advice.

Last updated: 2026-07-22
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