Calculate your annuity's future value by entering your starting principal, annual addition, monthly addition, interest rate, and number of years. You'll get back the end balance, total additions, and total interest earned — plus a year-by-year accumulation schedule.
End Balance
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Starting Principal
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Total Additions
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Total Interest Earned
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An annuity is a financial contract — typically issued by an insurance company — that accepts a lump sum or series of contributions and, in return, provides a stream of income payments either immediately or at a future date. They are commonly used as a retirement savings and income strategy.
An ordinary annuity makes contributions or payments at the end of each period, while an annuity due makes them at the beginning. Annuity due contracts tend to accumulate slightly more value because contributions earn interest for an additional full period.
The main types are fixed annuities (guaranteed interest rate), variable annuities (returns tied to investment sub-accounts), and indexed annuities (returns linked to a market index). Each carries a different risk and return profile suited to different retirement goals.
This calculator estimates the future accumulated value of an annuity during the accumulation phase. Enter your starting principal, any regular annual or monthly additions, your expected annual interest rate, and the number of years. The calculator compounds interest monthly and shows a full year-by-year schedule.
Annuities offer tax-deferred growth, a predictable income stream in retirement, and — in the case of life annuities — guaranteed payments that you cannot outlive. They can complement Social Security and other retirement savings to ensure lifelong cash flow.
Annuities often come with surrender charges if you withdraw funds early, and variable annuities carry investment risk. Fees can be higher than comparable investment products, and once you convert to an income annuity, you typically give up control of the principal.
Minimum investment requirements vary by provider and annuity type, but many fixed annuities start at $5,000–$10,000. Some retirement-plan annuities (like the TSP annuity) may require a minimum of $3,500 to purchase.
Yes. Many deferred annuities allow ongoing contributions during the accumulation phase — either as a lump sum, regular annual deposits, or monthly additions. This calculator lets you model both annual and monthly addition scenarios.