Aspida Synergy Choice 3 Year Annuity
August 12, 2022
Today’s Best Annuity Rates
Below are today’s best fixed annuity rates. Currently, the best fixed annuity rate is 4.80% available in a 7 year fixed annuity.
| Years | Insurer | Annuity | Rate | AM Best | Apply | |
|---|---|---|---|---|---|---|
| 2 | 
| Oceanview | Harbourview | 3.50% | A- | |
| 3 | 
| ASPIDA | Synergy Choice | 4.30% | A- | |
| 4 | 
| Nassau | Simple Annuity | 4.35% | B++ | |
| 5 |
| ASPIDA | Synergy Choice | 4.65% | A- | |
| 6 |
| Nassau | Simple Annuity | 4.55% | B++ | |
| 7 |
| ASPIDA | Synergy Choice | 4.80% | A- | |
| 8 | 
| Oxford Life | Multi-Select | 4.30% | A | |
| 9 | 
| Oxford Life | Multi-Select | 4.10% | A | |
| 10 | 
| Atlantic Coast Life | Safe Haven | 4.60% | B++ |
*NOTE: Click on the insurer or annuity product name for more details. You can find fixed index annuity rates here if you are looking for them instead.
Best 3 Year Fixed Annuity Rates
The best 3 year guaranteed annuity rate is 4.30%. Below are the best 3 year fixed annuity rates as of August 12, 2022.
| Term | Insurer | Annuity | Rate | AM Best | Liquidity | Apply | |
|---|---|---|---|---|---|---|---|
| 3 Years |
| ASPIDA | Synergy Choice | 4.30% | A- | None | |
| 3 Years | 
| American Life | American Classic | 4.10% | B++ | None | 10% | |
| 3 Years | 
| Sagicor | Milestone 3 | 3.90% | A- | None | 10% | |
| 3 Years | 
| Fidelity & Guaranty | Guarantee-Platinum | 3.90% | A- | Interest | |
| 3 Years | 
| Athene | MaxRate | 3.90% | A | Interest |
Best 5 Year Fixed Annuity Rates
Today’s best 5 year fixed annuity rate is 4.65% as of August 12, 2022.
| Term | Insurer | Annuity | Rate | AM Best | Liquidity | Apply | |
|---|---|---|---|---|---|---|---|
| 5 Years |
| ASPIDA | Synergy Choice | 4.65% | A- | None | |
| 5 Years |
| Atlantic Coast Life | Safe Haven | 4.50% | B++ | None | |
| 5 Years | 
| Sentinel Security | Personal Choice | 4.50% | B++ | None | |
| 5 Years |
| Athene | MaxRate | 4.40% | A | Interest | |
| 5 Years |
| Nassau | MYAnnuity | 4.35% | B++ | 10% | |
| 5 Years | 
| Americo Financial | Platinum Assure | 4.25% | A | 5% |
Best 7 Year Fixed Annuity Rates
The best 7 year fixed annuity rate is 4.80% as of August 12, 2022.
| Term | Insurer | Annuity | Rate | AM Best | Apply | |
|---|---|---|---|---|---|---|
| 7 yrs |
| ASPIDA | Synergy Choice | 4.80% | A- | |
| 7 yrs |
| Athene | MaxRate | 4.60% | A | |
| 7 yrs |
| Sentinel Security | Personal Choice | 4.55% | B++ | |
| 7 yrs |
| Atlantic Coast Life | Safe Harbor | 4.53% | B++ | |
| 7 yrs |
| Americo | Platinum Assure | 4.50% | A | |
| 7 yrs | 
| North American | Guarantee Plus | 4.40% | A+ |
Best 10 Year Fixed Annuity Rates
The highest 10 year guaranteed annuity rate is 4.60% as of August 12, 2022.
| Term | Insurer | Annuity | Rate | AM Best | Apply | |
|---|---|---|---|---|---|---|
| 10 yrs |
| Sentinel Security | Personal Choice | 4.60% | B++ | |
| 10 yrs |
| Oceanview | Harbourview | 4.30% | A- | |
| 10 yrs |
| Oxford Life | Multi-Select | 4.15% | A- | |
| 10 yrs | 
| Guggenheim | Preserve MYGA | 4.05% | A- | |
| 10 yrs | 
| Reliance Standard | Reliance Guarantee | 3.90% | A++ |
Free Annuity Quote
Fill out the form below to receive a free annuity quote or use one of our annuity calculators.
Understanding Annuity Rates
Annuity rates are important because they represent the rate of return you will receive the money you invest in an annuity contract.
Fixed indexed annuities earn interest based on the performance of a stock market index offering more upside potential along with downside protection.
Fixed Annuity Rates
Money in a fixed annuity earns interest determined by an annuity rate set by the insurance company. A fixed annuity rate is guaranteed for the initial surrender period.
Immediate Annuity Rates
Income Annuity Payments are guaranteed for life or a number of years and are determined by your age and income payment options.
Variable annuities earn investment returns based on the performance of “subaccounts." You can lose money in a variable annuity.
Types of Annuities Comparison Chart
| Features | Variable Annuity | Index Annuity | Fixed Annuity | Immediate Annuity | Longevity Annuity |
|---|---|---|---|---|---|
| Principal Protection | No | Yes | Yes | Yes | Yes |
| Liquidity Options | Yes | Yes | Yes | No | No |
| Maintain Control of Asset | Yes | Yes | Yes | No | No |
| Tax-Deferral | Yes | Yes | Yes | No | No |
| Guaranteed Rate | No | No | Yes | No | No |
| Guaranteed Income | Yes | Yes | Yes | Yes | Yes |
| Cost of Living Adjustments (COLA) | Yes | Yes | No | Yes | Yes |
| Death Benefit | Yes | Yes | Yes | Yes/No | Yes/No |
| LTC Enhancements | Yes | Yes | Yes | No | No |
Client Reviews
Read more My Annuity Store Reviews on Google.
Annuities vs CDs
Fixed annuities work very much like a certificate of deposit (CD) but typically pay higher rates than CDs. Below are some of the similarities between the two:
- Both pay a guaranteed rate for a set number of years
- Both provide principal protection
- Both typically allow free withdrawals of interest
- Both provide full account value lump-sum death benefit
- Fixed Annuities grow tax-deferred
- Fixed Annuities can provide guaranteed lifetime income
- CDs are FDIC Insured
- Fixed Annuities are guaranteed by the claims-paying ability of the issuing life insurance company and State Guaranty Associations
CD vs Fixed Annuity Comparison Chart
| FIXED ANNUITY | CD | |
|---|---|---|
| Issued By | Insurance Companies | Banks |
| Investment Amount | $2,000 - $1,000,000 | Essentially Any Amount |
| Investment Term | 2 years - 10 years | 3 months - 5 years |
| Interest Rates (APY) | Varies by product. | Varies by bank, term and investment amount. |
| Liquidity | Usually, 10% annually or interest earned. | Almost always accumulated interest. |
| Guarantees | Backed by Insurer & State Guaranty Associations. | Backed by the FDIC. |
| Death Benefit | May avoid probate. | Probate process required. |
The Federal Reserve and Annuity Rates
Current annuity rates often mirror the interest rates available in bonds. When bond rates increase, annuity rates usually go up as well.
That’s because insurance companies invest most of their general account in fixed-income securities, such as high-grade bonds.
The Federal Reserve signaled it would begin steadily raising interest rates in mid-March, its latest step toward removing stimulus to bring down inflation.
The Federal Reserve is expected to start raising interest rates next month and not slow down until well into 2023, though the slope of the increases might be a bit gentler.
Annuity rates tend to move in the same direction as 10 Year Treasuries because insurance companies invest a large portion of their general account in high-quality bonds.
Data last week showed U.S. consumer prices rose at their fastest pace since the early 1980s, fueling market speculation for a hefty 50-basis-point hike from the Fed’s March 15-16 meeting.¹
Fed Chairman Jerome Powell said Wednesday that the central bank was ready to raise rates at its March 15-16 meeting and could continue to lift them faster than it did during the past decade.
“This is going to be a year in which we move steadily away from the very highly accommodative monetary policy that we put in place to deal with the economic effects of the pandemic,” he said at a news conference following a Fed policy meeting.²
If that holds true annuity rate increases will likely continue throughout 2022.
Best Fixed Annuity Companies
The below table lists the 10 Best Fixed Annuity Companies by Individual U.S. Sales.
| Insurance Company | A.M. Best Rating | Comdex Score | 2019 Fixed Annuity Sales |
|---|---|---|---|
| Global Atlantic Financial Group | A | 75 | $4,684,876 |
| New York Life | A++ | 100 | $9,863,105 |
| AIG Companies | A | 82 | $7,237,372 |
| Massachusetts Mutual Life | A++ | 98 | $3,854,866 |
| Pacific Life | A+ | 93 | $2,873,727 |
| Principal Financial Group | A | 91 | $2,844,881 |
| Western Southern Group | A+ | 96 | $2,468,257 |
| Symetra Financial | A | 82 | $2,103,435 |
| MetLife | A+ | 95 | $1,443,005 |
| Great American | A | 82 | $1,403,162 |
Today's Best Fixed Annuities
North American Guarantee Plus Annuity 5
August 13, 2022
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American Life American Classic 3 Year Fixed Annuity
August 12, 2022
Sagicor Milestone 3 Year Fixed Annuity
July 30, 2022
What is a Fixed Annuity?
With a deferred fixed annuity, the life insurance company guarantees both the rate of return (the annuity rate) and the payout to the investor. Although the word “fixed” might suggest otherwise, the interest rate on a fixed annuity can change over time.
The fixed annuity contract will explain whether, how, and when this can happen. 3 year fixed annuity rates are fixed for the initial 3 year contract period and a new interest rate is declared at the end of the 3 years.
You’ll have an option to withdraw your funds, transfer to a new investment vehicle or accept the new declared rate.
Source: “Learn to Invest, Investment Types, Annuities, Fixed Annuities.” Financial Industry Regulatory Authority (FINRA). Visit FINRA’s Fixed Annuities Webpage
Fixed Annuity Pros and Cons
Pros
- Guaranteed Annuity Rates
- Grow Tax-Deferred
- Principal Protection
- You can exchange your fixed annuity for a new one via a 1035 Exchange
- The most simple type of annuity
- Usually provide some liquidity
- Low investment minimums
- Full account value passes directly to the beneficiary at death
Cons
- Withdrawals before age 59½ may have a 10% IRS penalty
- Offer limited lifetime Income Options
- Surrender charges for excess withdrawals during the initial surrender period
- Fixed annuities don’t offer a rate of returns as high as the stock market
- Limited Liquidity
- Annuity rates may not keep up with inflation
Are Fixed Annuities Taxed?
Under current federal law, annuities receive special tax treatment. Income tax on annuities is deferred, which means you don’t pay taxes on the interest your annuity earns until you withdraw it from your annuity.
Tax-deferred accumulation is not the same as tax-free accumulation.
An advantage of tax deferral is that the tax bracket you are in when you receive annuity income payments may be lower than the one you are in during the accumulation period.
You will also be earning interest on the amount you would have paid in taxes during the accumulation period.
Most states’ tax laws on annuities follow federal law. You should consult a professional tax advisor to discuss your individual tax situation.
Roth IRA Annuity Taxation
If you buy an annuity using a Roth or Roth 401(k) you likely will not pay federal income tax at all.
Qualified Annuity Taxation
Any annuity purchased with qualified funds, like a 401(k) or IRA, is considered a qualified annuity. Qualified funds are monies that you have never paid taxes on such as a traditional IRA or a traditional 401(k).
When you begin to make withdraws from a qualified annuity you will pay normal federal income taxes.
Non-Qualified Annuity Taxation
A non-qualified annuity is an annuity purchased with after tax-dollars such as money from savings, checking accounts, or a personal brokerage account.
You will only pay tax on your earnings with you withdraw your money.
Frequently Asked Questions
Are Fixed Annuities FDIC Insured?
Fixed annuities are not FDIC insured. Instead, they are insured by the claims-paying ability of the issuing life insurance company and by State Guaranty Associations.
Do Fixed Annuities Have fees?
Fixed annuities do not have annual fees in general. However, there are some fixed annuity products that offer optional income riders, death benefit riders, or long-term care riders for an additional annual fee.
What is a 5 Year Fixed Annuity?
A 5 year fixed annuity is an annuity contract with a five-year surrender charge schedule (CDSC). When you purchase a 5-year fixed annuity the interest rate is guaranteed for the initial 5-year contract period and you agree to keep the annuity for the 5-year contract term.
What is the Best Fixed Annuity Rate Today?
The best fixed annuity rate today is 4.50% available in a 7 year annuity; 4.25% for a 5 year annuity, 4.00% for a 3 year fixed annuity, and 3.50% for a 2 year annuity (as of July 7, 2022).
https://www.reuters.com/business/finance/what-global-banks-forecast-fed-rate-hikes-2022-2022-02-11/
https://www.wsj.com/articles/fed-tees-up-march-interest-rate-increase-11643223603
https://www.federalreserve.gov/releases/h15/
Source: LIMRA Secure Retirement Institute U.S. Individual Annuities Sales Survey
https://www.finra.org/investors/learn-to-invest/types-investments/annuities/fixed-annuities
“Buyers Guide for Deferred Annuities: Fixed Annuities 2013.” © 1999, 2007, 2013 National Association of Insurance Commissioners.
