A SPIA (Single Premium Immediate Annuity) converts a lump sum into a guaranteed monthly income stream that starts within 30 days. Unlike MYGAs, SPIA payouts are not quoted as an interest rate — they are quoted as a monthly income amount per $100,000 deposited, which varies by age, gender, payout option, and carrier.

Below are representative SPIA income estimates for 2026, based on quotes from A-rated carriers. For a personalized quote, contact an independent annuity agent.

Age / Gender $100,000 Premium $200,000 Premium $300,000 Premium Payout Type
65 Male ~$575–$620/mo ~$1,150–$1,240/mo ~$1,725–$1,860/mo Life Only
65 Female ~$535–$580/mo ~$1,070–$1,160/mo ~$1,605–$1,740/mo Life Only
70 Male ~$660–$710/mo ~$1,320–$1,420/mo ~$1,980–$2,130/mo Life Only
70 Female ~$610–$655/mo ~$1,220–$1,310/mo ~$1,830–$1,965/mo Life Only
75 Male ~$780–$840/mo ~$1,560–$1,680/mo ~$2,340–$2,520/mo Life Only
75 Female ~$710–$760/mo ~$1,420–$1,520/mo ~$2,130–$2,280/mo Life Only
65 Couple (Joint) ~$490–$530/mo ~$980–$1,060/mo ~$1,470–$1,590/mo Joint Life (100%)
70 Couple (Joint) ~$545–$590/mo ~$1,090–$1,180/mo ~$1,635–$1,770/mo Joint Life (100%)

Estimates based on March 2026 quotes from A-rated carriers. Actual amounts vary by carrier, state, and exact date of purchase. Quotes valid for 30 days.

Key Takeaways

  • SPIA payouts increase with age — a 75-year-old gets significantly more per month than a 65-year-old for the same premium
  • Men receive higher monthly payments than women because male life expectancy is shorter
  • Joint life options pay less per month but continue until both spouses have passed
  • Rates vary by 5%–15% between carriers — always get 3+ quotes before purchasing
  • Compare with MYGA rates if income isn’t needed immediately

What Is a SPIA and How Are Rates Calculated?

A Single Premium Immediate Annuity is the simplest income annuity available. You hand the insurance company a premium — often $100,000 to $500,000 — and they begin sending a guaranteed monthly check, typically within 30 days. The income continues for life (or a chosen period), regardless of how long you live.

SPIA payouts are determined by three factors:

  • Your age at purchase — older buyers receive more per month because the insurance company expects to pay for a shorter period
  • Current interest rates — higher prevailing rates mean higher SPIA payouts; rates in 2024–2026 have produced some of the best SPIA income levels in over a decade
  • Your payout option — life-only pays the most; period-certain and joint-life options pay less in exchange for greater beneficiary protections

SPIA Payout Options Explained

Option Monthly Payout What Happens at Death Best For
Life Only Highest Payments stop Singles focused on maximizing income; those with other estate assets
Life + 10-Year Certain Slightly less Heirs receive payments for remaining 10 years Buyers concerned about dying early in the contract
Life + 20-Year Certain Moderately less Heirs receive payments for remaining 20 years Buyers with dependents or estate planning goals
Joint Life (100%) Lower Full payment continues to survivor Married couples wanting equal income for both
Joint Life (50%) Moderate 50% of payment continues to survivor Couples where one spouse has other income sources
Period Certain Only Varies Heirs receive remaining payments Buyers who want income for a specific period, not lifetime

Best Carriers for SPIA Rates in 2026

SPIA rate comparisons require live quotes because payouts change daily with interest rates and carrier positioning. Carriers that consistently appear at the top of SPIA comparisons include:

  • MassMutual — A++ AM Best, consistently competitive life-only payouts
  • New York Life — A++ AM Best, strong joint life and period-certain products
  • Pacific Life — A+ AM Best, competitive across most age/payout combinations
  • Protective Life — A+ AM Best, frequently competitive on life-only quotes
  • Athene — A+ AM Best, strong SPIA rates particularly for older buyers

Always get quotes from at least 3 carriers before purchasing. A 5% difference in monthly payout on a $200,000 premium is $65–$80 more per month — significant over a 20-year retirement.

SPIA vs. MYGA: Which Is Right for You?

The choice between a SPIA and a MYGA depends primarily on when you need income and how important liquidity is:

Factor SPIA MYGA
Income start Within 30 days At maturity (years away)
Liquidity None after purchase 10% annual free withdrawals
Longevity protection Yes — guaranteed for life No — finite term
Death benefit Depends on option chosen Full account value to heirs
Best for Retirees who need income now Savers who don’t need income yet

For a complete comparison of annuity income options, see our guide to annuity payout options.

How to Get an Accurate SPIA Quote

  1. Have your date of birth and your spouse’s date of birth (if joint life) ready
  2. Know your premium amount and whether funds are qualified (IRA) or non-qualified (after-tax)
  3. Decide your preferred payout option (life only, joint life, period certain)
  4. Request quotes from an independent annuity agent who can shop 10+ carriers simultaneously
  5. Compare the monthly income amount, not just the carrier name — payouts vary meaningfully between carriers

Frequently Asked Questions

What is a good SPIA rate in 2026?

In 2026, a 70-year-old male purchasing a $200,000 life-only SPIA can expect approximately $1,320–$1,420/month from top A-rated carriers. That translates to roughly 7.9%–8.5% of premium annually — one of the strongest SPIA income environments since 2008, driven by elevated interest rates.

Can I lose money with a SPIA?

With a life-only SPIA, if you die shortly after purchase, the insurance company keeps the remaining premium — your heirs receive nothing. This is not a “loss” in the traditional sense; it is the cost of the longevity guarantee. A period-certain or joint-life option provides beneficiary protection at the cost of a slightly lower monthly payment.

Are SPIA payments taxable?

For a qualified SPIA (funded with IRA/pre-tax money), all payments are fully taxable as ordinary income. For a non-qualified SPIA (funded with after-tax money), only the earnings portion of each payment is taxable — the rest is a tax-free return of your basis, calculated using the exclusion ratio.

What happens to a SPIA when the owner dies?

It depends on the payout option. Life-only: payments stop. Life + period certain: heirs receive the remaining guaranteed payments. Joint life: the surviving spouse continues receiving payments (at 100% or 50% depending on the option chosen).

Sources & Citations

AJ
Written & edited by AnnuityJournal Editorial Team Independent Financial Media
EB
Reviewed by Editorial Board AnnuityJournal.org

Research and methodology

AnnuityJournal.org sources rate data from AnnuityRateWatch, which surveys MYGA offerings from insurance carriers that continually offer competitive rates. We monitor rates daily across all available terms (2–10 years).

To identify the best rates, we evaluate carriers on: credited interest rate, AM Best financial strength rating, minimum premium requirement, surrender charge schedule, and free withdrawal provisions. Only carriers rated A- or better by AM Best are included.

Rates are updated every 6 hours. Rate availability varies by state — not all products are approved in every state. Always verify current rates directly with a licensed insurance professional before purchasing.

Rate Data Disclosure: Rate data sourced from AnnuityRateWatch, updated every 6 hours. AnnuityJournal.org is an independent publication — we do not sell annuities. Rates are from A-rated carriers (AM Best A-, A, A+, A++) only. Verify current rates with a licensed professional before purchasing.