Is the MNL Income Planning Annuity Worth It?
The MNL Income Planning Annuity is Midland National’s fixed indexed annuity (FIA) built around one job: turn a lump sum into the largest possible guaranteed lifetime income check, starting at a future date the buyer chooses. It is sold by MyAnnuityStore alongside 90+ top annuity companies, and it sits in the same family as the more familiar North American Income Pay Pro 10 because both Midland National and North American Company are owned by Sammons Financial Group.
Where the North American product uses an 8% compound roll-up to grow a benefit base, MNL Income Planning takes a different approach: there is no roll-up. The benefit base stays equal to the premium, and the income is generated by an age-banded withdrawal percentage that increases every year the contract is deferred. This review walks through the math, explains what the structure means for a 60-year-old planning to start income at 70, and shows where this product fits and where it doesn’t.
The Headline: $17,160 Per Year for Life on a $100K Deposit
Run the standard 10-year deferral scenario for a 60-year-old male in Arizona depositing $100,000:
- Premium: $100,000 (non-qualified)
- Activation age: 70 (year 11 of the contract)
- Withdrawal percentage at age 70: 17.16%
- Annual guaranteed income for life: $17,160
- Income/premium ratio: 17.16%
That $17,160 is locked in for life, regardless of contract value. Even if the accumulation value runs to zero (which the current-rates illustration shows happens around age 78-79 once income is flowing), the lifetime payment continues. The carrier is on the hook for every check until death.
How That Stacks Up Against the Alternatives
For a 60-year-old male putting $100,000 into a 10-year deferred income vehicle, here is how MNL Income Planning compares:
| Vehicle | Annual Income at Age 70 | Payout Rate |
|---|---|---|
| MNL Income Planning Annuity (10-yr defer) | $17,160 | 17.16% |
| North American Income Pay Pro 10 (8% roll-up, 10-yr defer) | $16,840 | 16.84% |
| Top FIA with GLWB roll-up + bonus (10-yr defer) | $15,500-$17,500 | 15.5-17.5% |
| Deferred Income Annuity (DIA), no roll-up | $12,500-$13,800 | 12.5-13.8% |
| Withdrawal from a 60/40 portfolio at 4% rule | $5,920 (after 10 yrs of 4% growth) | ~5.9% on original |
The Income Planning Annuity beats its sister product by 32 basis points of payout rate at the standard 10-year activation point. Against a typical DIA, it is roughly 35-40% more annual income for the same deposit and deferral.
The “No Roll-Up” Structure, Explained
This is the part most buyers misunderstand at first. Many FIA income riders advertise a 7%, 8%, or 10% compound roll-up on the benefit base. MNL Income Planning has no roll-up. The benefit base equals the premium and stays there: $100,000 in, $100,000 benefit base, year 1 through year 16+.
So how does the income grow? Through the withdrawal percentage table:
| Activation Age | Benefit Base | Withdrawal % | Annual Income |
|---|---|---|---|
| 65 | $100,000 | 10.65% | $10,650 |
| 67 | $100,000 | 12.89% | $12,890 |
| 69 | $100,000 | 15.60% | $15,600 |
| 70 | $100,000 | 17.16% | $17,160 |
| 72 | $100,000 | 17.85% | $17,850 |
| 75 | $100,000 | 18.94% | $18,940 |
The longer the buyer waits to turn on income, the larger the percentage. From age 65 to age 70 the percentage jumps from 10.65% to 17.16%, an effective payout uplift of 61% across five extra years of deferral. That uplift is what replaces the compound roll-up most rivals use.
The practical implication: this product is built for buyers who know they will not start income before age 65, and ideally after 67. A buyer who plans to activate at 62 or 63 should shop a different product because the percentages at those ages are much weaker.
The 1.25% Rider Fee, Unpacked
The MNL Income Planning rider fee is 1.25% annually, deducted from the accumulation value. That is at the high end of the FIA rider market. By comparison, the North American Income Pay Pro 10 charges 1.15%, and several major rivals run 0.95% to 1.10%.
The 10-basis-point premium over the sister product buys two things: the steeper age-banded percentage table (which produces the slightly higher $17,160 vs. $16,840 income at age 70), and the enhanced payment feature for ADL impairment.
The fee is charged on the accumulation value, not the benefit base. Over a 10-year deferral on a $100,000 contract that has earned roughly 4% annualized credited interest, total cumulative rider fees come to about $14,500 of the $34,000 of credited interest produced. Buyers should price this accurately rather than treat the rider as “free.” The fee is the cost of the lifetime income guarantee.
Enhanced Payments for ADL Impairment
One feature that distinguishes the Income Planning rider from many FIA income riders: the payment can double if the annuitant becomes unable to perform two of the six Activities of Daily Living (ADLs). This is sometimes called a “nursing home doubler,” though Midland’s version is structured around ADL impairment rather than confinement specifically.
Two important caveats:
- The annuitant must be able to complete all six ADLs at issue to qualify for the enhanced benefit later. Buyers with existing ADL limitations cannot use this feature.
- Activation requires medical certification at the time of claim, and there is typically a waiting period after issue.
For a buyer worried about long-term care costs but unwilling to buy a separate LTC policy, the enhanced payment functions as a partial substitute. It is not a replacement for true LTC coverage.
Strategy Allocations: 1-Year S&P 500 PTP at 25% Participation
The default crediting strategy on the brochure illustration is 100% allocation to the 1-Year S&P 500 Point-to-Point Participation Rate option:
- Index: S&P 500 (price return, no dividends)
- Participation rate: 25% (current declared rate)
- Cap: None (the par rate is the limiter)
- Reset: Annual
- Floor: 0% (no negative crediting in down years)
Translation: in a year the S&P 500 price index returns 12%, the contract receives 3% credited interest (12% × 25%). In a year the S&P 500 returns -8%, the contract receives 0%, no loss.
The hypothetical “current rates” projection in the illustration produces a 4.09% annualized credited rate over the most recent 10-year period (2016-2025) using actual S&P 500 history. That is consistent with what an FIA participation-rate strategy should deliver in a typical decade with mid-single-digit equity returns: enough credited interest to cover the rider fee and grow the accumulation value modestly until income turns on.
Note that the illustration’s high-period and most-recent-period both came in at 4.09% annualized; the low period (which includes 2008’s zero-return year) came in at 2.56%. Realistic future expectations probably sit between those two figures.
Withdrawals, Surrender, and Liquidity
Penalty-free withdrawals begin in the first contract year. The annual penalty-free amount is 5% of initial premium, which is lower than the 10% standard offered on most FIAs in this category. That matters for buyers who may need partial liquidity beyond their lifetime income.
The surrender schedule in most states is 10 years and stiffer than most peers in the early years:
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Charge | 10% | 10% | 10% | 10% | 10% | 9% | 8% | 6% | 4% | 2% |
The first five years all sit at 10%, which is steeper than the typical declining schedule. State variations apply: California is shorter and lower, Louisiana, Massachusetts, Montana, and Wyoming use a 9-year 9.5% to 1% schedule, and the same 9-year schedule applies in Alaska, Connecticut, Delaware, Hawaii, Idaho, Illinois, Maryland, Minnesota, Missouri, Nevada, New Hampshire, New Jersey, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Texas, Utah, Virginia, and Washington. North Carolina has no surrender period.
Required minimum distributions (RMDs) above the penalty-free amount are exempted from surrender charges and the market value adjustment by current company practice. The contract also includes a Market Value Adjustment that can move the surrender value up or down with the MVA external index since contract issue.
The product is not available in Guam, New York, Puerto Rico, or the U.S. Virgin Islands.
Death Benefit
The death benefit on the MNL Income Planning Annuity is the accumulation value, paid to the beneficiary in a lump sum or as installments. For most years before income activation, that means the death benefit roughly tracks the contract value. After the income rider activates and withdrawals exceed credited interest, the death benefit declines along with the accumulation value.
For buyers whose primary goal is leaving an inheritance, the Income Planning Annuity is not the right product. Other Midland fixed indexed annuities and several Sammons sister products offer a return-of-premium death benefit even after income payments.
Midland National Financial Strength
Midland National Life Insurance Company is owned by Sammons Financial Group, a privately held mutual holding company headquartered in West Des Moines, Iowa. Sammons also owns North American Company for Life and Health Insurance, the issuer of the Income Pay Pro 10. The combined Sammons annuity book is one of the ten largest in the U.S. fixed annuity market.
| Rating Agency | Rating | Outlook |
|---|---|---|
| AM Best | A+ (Superior) | Stable |
| Standard & Poor’s | A+ | Stable |
| Fitch | A+ | Stable |
An A+ Superior rating is the second-highest on the AM Best 13-tier scale, putting Midland National in the same financial-strength tier as Pacific Life and Lincoln Financial. State guaranty associations provide additional protection up to coverage limits, generally $250,000 of present value depending on state.
Pros and Cons
Pros
- $17,160 lifetime income on $100K with 10-year deferral — among the highest payout rates in the A-rated FIA category
- A+ AM Best rating with consistent affirmation history under Sammons Financial
- No cap on credited interest — par rate is the limiter, so up years can credit healthily
- Enhanced payments for ADL impairment built into the rider
- RMD-friendly — surrender charges and MVA waived for IRS RMD distributions above the free-withdrawal amount
- Predictable structure — no caps to compress, no second-level rate changes mid-contract
Cons
- 1.25% rider fee is at the high end of the FIA market
- 5% penalty-free withdrawals (vs 10% on most peers)
- 10/10/10/10/10 surrender schedule in the front five years is stiffer than competitors
- No roll-up means the deferral story works only if the buyer waits to age 65+ to activate
- Death benefit equals accumulation value — drains down once income turns on
- Not available in NY — material gap for New York residents
Who Should Buy MNL Income Planning?
The product fits a specific buyer profile. The strongest candidates are:
- Age 55-65 buyers planning to activate income at 67-72. The age-banded percentage table rewards this exact deferral window.
- Buyers who will not need access to the principal. The 5% penalty-free withdrawal cap and 10/10/10/10/10 early surrender charges punish anyone who has to dip in.
- Buyers prioritizing lifetime income over inheritance. If legacy is a primary goal, the accumulation-value death benefit is a meaningful drawback.
- Buyers concerned about ADL impairment who want a built-in payment doubler without buying a separate LTC policy.
- Buyers who want the highest payout rate from an A+ rated carrier. The Income Planning percentage table beats most rivals at the 65+ activation window.
The product is a poor fit for buyers under 60 who want to start income before 65, buyers who value liquidity, and buyers focused on leaving a death benefit. New York residents cannot buy it at all.
Bottom Line: Top-of-Market Income for Patient Buyers
The MNL Income Planning Annuity is a clean, well-engineered FIA income product with one of the highest age-banded payout tables in the A-rated market. The trade-offs are real – the 1.25% rider fee is on the high end, the 5% penalty-free cap is below standard, and the front-loaded surrender schedule is stiff. But for a 60-year-old planning to wait until age 70 to turn on income, $17,160 per year for life on a $100,000 deposit is a competitive number, and the A+ rated Sammons Financial backing gives it the credit profile most retirees are looking for.
If MNL Income Planning fits your timeline, request a personalized quote with the live participation rate for your issue state and review the side-by-side numbers against the North American Income Pay Pro 10, the next-closest Sammons product. The right choice between the two depends on your activation age, liquidity tolerance, and whether the ADL enhancement matters in your situation.
Frequently Asked Questions
What is the rider fee on the MNL Income Planning Annuity?
The Lifetime Income Planning Rider fee is 1.25% annually, deducted from the accumulation value. The fee continues for the life of the contract once the rider is elected.
Does the MNL Income Planning Annuity have a roll-up?
No. The benefit base equals the premium and stays there. Income growth comes from the age-banded withdrawal percentage table, which increases every year the buyer defers activation. At age 65 the rate is 10.65%; at age 70 it is 17.16%; at age 75 it is 18.94%.
What is the minimum premium for the MNL Income Planning Annuity?
$20,000 minimum for both qualified (IRA, 401(k) rollover) and non-qualified premiums.
Is MNL Income Planning available in New York?
No. The product is not available in New York, Guam, Puerto Rico, or the U.S. Virgin Islands.
What is Midland National’s AM Best rating?
Midland National Life Insurance Company carries an AM Best rating of A+ (Superior), the second-highest of 13 categories. The carrier is owned by Sammons Financial Group and shares its rating tier with Pacific Life and Lincoln Financial.
How does the MNL Income Planning Annuity compare to the North American Income Pay Pro 10?
Both are Sammons Financial products. North American Income Pay Pro 10 uses an 8% compound roll-up plus a 1.15% rider fee and produces $16,840 per year for life on $100K with a 10-year deferral. MNL Income Planning uses a no-roll-up age-banded structure with a 1.25% rider fee and produces $17,160 per year on the same deposit and deferral. Income Planning wins on annual income at age 70+; Income Pay Pro wins on flexibility for buyers who may activate earlier or want a different deferral window.
Sources & Citations
Get a Free Quote on the MNL Income Planning Annuity from MyAnnuityStore: 855-583-1104 or info@myannuitystore.com.
Related reading on MyAnnuityStore:
- Midland National Life Insurance Company Annuity Review
- Sammons Financial Group Annuity Review
- North American Income Pay Pro 10 Review
Editorial Disclosure: MyAnnuityStore is an independent licensed annuity brokerage. We earn commissions when readers purchase annuities through our agency. The MNL Income Planning Annuity values shown above were generated from a Midland National illustration prepared by Kiara Caudill (NPN 19609263) on May 1, 2026, for a 60-year-old male in Arizona depositing $100,000 non-qualified, with income activation at age 70 using 100% allocation to the 1-Year S&P 500 PTP Participation Rate strategy. Your personalized illustration will reflect your specific age, state, and the participation rate in effect on your application date. Annuity guarantees are subject to the claims-paying ability of the issuing insurer. Withdrawals before age 59½ may be subject to a 10% federal early withdrawal tax in addition to ordinary income tax.
