Retirement Income Calculator

Estimate your retirement income in minutes with our Retirement Income Calculator. At Diversified Insurance Brokers, we compare lifetime income options from 75+ top-rated annuity carriers to help you turn savings into steady monthly income—without pressure or sales tactics. Use the calculator below to explore how much guaranteed income you could receive, then request a personalized quote.

Combining a Lifetime Income Annuity—which pays for your life and the life of your spouse, regardless of longevity—with Social Security can be one of the best ways to ensure you never outlive your income.

How This Calculator Helps

See guaranteed income: Model single or joint lifetime payouts based on age, premium, and options.
Compare carriers: We review 75+ top-rated companies to find strong payouts and contract terms.
Plan your timeline: Quote immediate income or future start dates to match your retirement plan.
Personalized guidance: Get recommendations tailored to your state, age, and goals.

What to Enter (Step-by-Step)

Premium amount: The dollars you’ll allocate (IRA, 401(k) rollover, or non-qualified savings).
Your age(s): For joint quotes, include both spouses’ dates of birth.
Income start: Choose “now” for immediate income or set a future start date to lock in higher payouts later.
Single vs. joint life: Joint life protects a surviving spouse; expect a slightly lower payout in exchange for two-lifetime coverage.
Optional features: Consider period certain (e.g., 10 or 20 years), cash refund provisions, or cost-of-living adjustments (COLA).

How to Read Your Results

Monthly income: The guaranteed amount the insurer will pay on the schedule you select (monthly/annual).
Payout rate: Annual income divided by premium; this is not a yield and differs from interest rates.
Deferral effects: Starting later typically increases guaranteed income due to age and deferral credits.
Benefit bases: Some riders use an “income base” for calculating payouts. That base may grow by a roll-up or deferral credit and can differ from your account value.

Who It’s a Good Fit For

Retirees who want guaranteed, predictable income they can’t outlive.
Pre-retirees locking in future income at today’s terms.
Couples seeking joint lifetime income for both spouses.
Investors looking to reduce market risk for essential expenses.

Design Choices That Move the Needle

Start date: Each year of deferral can materially increase guaranteed income.
Joint vs. single: Joint life protects the survivor; expect a modest payout trade-off for that protection.
Period certain / refund: Ensures a minimum benefit to beneficiaries; adding guarantees usually reduces the monthly amount.
Inflation options: COLA riders raise income over time but start lower; weigh near-term needs vs. long-run purchasing power.

Taxes, Accounts & RMDs (At a Glance)

Qualified funds (IRA/401(k) rollover): Income is generally taxed as ordinary income when paid out. Required Minimum Distribution (RMD) rules still apply; we can coordinate income streams to satisfy them.
Non-qualified funds: Payments may receive exclusion ratio tax treatment (a portion is return of principal) until basis is recovered, then become taxable; actual treatment depends on the contract and your situation.
Social Security coordination: Using guaranteed annuity income for essential bills can let you optimize Social Security timing and keep your risk assets invested for growth.

Sample Scenarios (Illustrative Only)

The figures below are examples for education—not an offer, advice, or a guarantee. Actual payouts vary by carrier, age, state, product, and options selected.

Immediate single life: 67-year-old invests $300,000 for income starting next month; selects life-only. Result: higher monthly income, no beneficiary guarantee beyond any unpaid mode amount.
Deferred joint life with 10-year certain: Couple age 62/60 invests $400,000; starts income at 67; adds 10-year period certain. Result: survivor protected plus minimum payout window for heirs; initial income a bit lower than life-only.
COLA rider: 65-year-old starts lower income that increases 2–3% annually, trading current dollars for future purchasing power.

Common Mistakes to Avoid

Comparing payout rates to bond yields (they aren’t the same).
Ignoring survivor needs—joint life can be critical for spouses.
Over-customizing with riders you don’t need (each feature affects income).
Waiting too long when you already plan to annuitize—rates, age, and contract terms matter.

Why Work With Diversified Insurance Brokers

Independent & carrier-neutral: We shop the market—no single-company bias.
75+ top-rated carriers: Access competitive income riders and strong guarantees.
Transparent, no-pressure process: Clear comparisons, plain-English explanations.
Decades of experience: We structure income solutions to fit your cash-flow needs and tax considerations.

Get a Personalized Lifetime Income Quote

Lock in today’s guaranteed income options and compare carriers side-by-side.

Request a Quote

FAQ

Is this calculator free and does it impact my credit?

It’s free to use and does not affect your credit. If you request a custom quote, we’ll only ask for the basics needed to compare carriers.

What’s the difference between a single-life and joint-life quote?

Single-life pays for one lifetime and typically offers the highest starting income. Joint-life continues payments over two lifetimes to protect a surviving spouse; the initial payout is usually a bit lower.

Do I lose access to my principal?

Lifetime income designs focus on guaranteed payments. If liquidity is important, we can compare contracts with cash-refund, period-certain, or withdrawal features so you balance income and access.

Are the payouts “interest” or “returns”?

Lifetime income is an insurance guarantee, not an investment return. Payouts reflect age, rates, mortality credits, and contract options—not just interest.

How do taxes work?

IRA/401(k) income is generally taxed as ordinary income. Non-qualified annuity payments may receive exclusion-ratio treatment until basis is recovered. Always confirm with your tax advisor.