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    Annuity Payout Calculator

    Plan the payout phase of an annuity. Choose a fixed payout length to see the periodic payment your principal supports, or a fixed payment amount to see how long the money lasts. Includes the year-by-year balance rundown of principal and returns.

    #annuity payout#annuity payment#withdrawal calculator#income rider#payout phase

    TheCalculators — Annuity Payout Calculator

    Printed thecalculators.com

    Presets
    $
    50K2M
    % / yr
    012
    years
    140
    $

    Used in "Fixed payment" mode to find how long the annuity lasts.

    Live mode: results update as you type.

    You can withdraw $5,511.20 monthly

    Optimal

    $5,511.20

    for 10 years (120 payments) from $500,000

    Starting Principal
    $500,000.00
    Total of 120 Payments
    $661,344.16
    Total Interest / Return
    $161,344.16
    Return Share of Payments
    24.4%

    Payment composition

    Payment composition
    • Principal Returned$500,000
    • Interest / Return$161,344

    Annuity balances

    YearBeginning BalanceInterest/ReturnEnding Balance
    Year 1$500,000.00$28,200.44$462,066.02
    Year 2$462,066.02$25,924.40$421,856.00
    Year 3$421,856.00$23,511.80$379,233.38
    Year 4$379,233.38$20,954.44$334,053.41
    Year 5$334,053.41$18,243.64$286,162.63
    Year 6$286,162.63$15,370.19$235,398.41
    Year 7$235,398.41$12,324.34$181,588.34
    Year 8$181,588.34$9,095.74$124,549.66
    Year 9$124,549.66$5,673.42$64,088.66
    Year 10$64,088.66$2,045.76$0.00

    Fixed-length ("period certain") payments continue to heirs if you die early; "life only" annuitization pays until death with no remainder. This tool models the fixed math, not insurer mortality credits.

    Most useful next

    You can withdraw $5,511.20 monthly

    $5,511.20

    Formula

    Payment = P × rₚ / (1 − (1+rₚ)^−N), rₚ = (1+i)^(1/k) − 1

    • • P = starting principal at annuitization
    • • i = annual return, k = payments per year, N = total number of payments
    • • Fixed-payment mode solves N = −ln(1 − P·rₚ/PMT) / ln(1+rₚ)

    Pro tips

    • • The 4% rule is a common starting withdrawal rate for retirement portfolios.
    • • Longer payout periods mean smaller payments but more total interest earned.
    • • Once annuitized, the payout choice is irrevocable — model several scenarios first.

    FAQ

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