Best MYGA Rates (Updated Monthly)
Best MYGA Rates (Updated Monthly)
A MYGA — Multi-Year Guaranteed Annuity — is the simplest annuity product on the market. You hand a carrier a lump sum. They guarantee an interest rate for a fixed number of years. At the end of the term, you take the money back, roll it tax-free into another MYGA, or annuitize it for lifetime income.
No market exposure. No fees layered on top. No "participation rate" math to decode. Just a guaranteed rate, like a CD, except the rate is usually higher and the growth is tax-deferred.
Below are the current top MYGA rates I'm seeing this month across the carriers I work with — Athene, F&G, Corebridge, American National, MassMutual Ascend, Equitrust, Sentinel Security, and a few others. Rates change weekly. Best to start your comparison the day you're ready to fund.
Current best MYGA rates by term
| Term | Top Carrier | Guaranteed Rate | Min Funding | Surrender Schedule |
|---|---|---|---|---|
| 3-year | Top A-rated carrier | on request | $10,000 | 9/8/7 |
| 4-year | Top A-rated carrier | on request | $25,000 | 9/8/7/6 |
| 5-year | Top A-rated carrier | on request | $10,000 | 9/8/7/6/5 |
| 6-year | Top A-rated carrier | on request | $25,000 | 9/8/7/6/5/4 |
| 7-year | Top A-rated carrier | on request | $50,000 | 9/8/7/6/5/4/3 |
| 10-year | Top A-rated carrier | on request | $10,000 | 9/8/7/6/5/4/3/2/1/1 |
*Rates as of publication. Subject to change daily. All carriers listed are A.M. Best A- or higher. Surrender percentages are illustrative — actual schedules vary by carrier and product.*
What's a MYGA, exactly?
"MYGA" is just industry shorthand for the most straightforward type of fixed annuity. The contract guarantees:
- A fixed interest rate
- For a fixed term (usually 3, 5, 7, or 10 years)
- With principal protected by the issuing insurance company and your state's guaranty association
At maturity, you have three choices:
- Cash out. Take the principal plus accumulated interest. Pay tax on the interest portion (inside an IRA, taxed as ordinary income; non-qualified money, only the interest is taxed).
- Roll to a new MYGA. Tax-free 1035 exchange. No tax event. Reset the term at the new rate.
- Annuitize. Convert the lump sum into a stream of guaranteed payments — for a set number of years or for life.
Most clients roll. The MYGA-to-MYGA tax-free rollover is one of the most underused tools in the safe-money space.
How MYGA rates are set
Insurance carriers invest your premium in their general account — mostly investment-grade corporate bonds and government securities with durations roughly matching the MYGA's term. They lock in a yield, take a spread (typically 100-200 basis points), and pay you the rest.
This is why MYGA rates closely track 10-year Treasury yields. When the 10-year is at 4.5%, the best 5-year MYGAs are usually paying around 5.5-6.0%. When the 10-year drops to 3.5%, MYGAs follow within 60-90 days.
Two practical implications:
You can't time the top. Rates often peak briefly and then drift down. Waiting for "the perfect rate" costs you real interest. A 5.50% MYGA today beats a 5.75% MYGA that never comes plus six months at 0.45% in a savings account.
Carrier-by-carrier rate differences shrink at the top. The difference between the #1 and #4 carrier on a 5-year MYGA is often less than 0.15%. Picking the right surrender schedule and free-withdrawal provision matters more than chasing the top 0.10%.
How to choose the right MYGA term
The right term is the longest one you're confident you won't need to break early.
Surrender charges are real money. A typical 5-year MYGA carries a 9-8-7-6-5 schedule — meaning if you take all your money out in year 1, you pay a 9% penalty. By year 5, it's 5%. After year 5, it's gone.
The math:
- 3-year MYGA if you might need access within 3-4 years. Rates are 0.25-0.50% lower than longer terms but the liquidity wiggle room is worth it.
- 5-year MYGA if the money is genuinely set aside for 5+ years. This is the sweet spot for most clients.
- 7 or 10-year MYGA only if you're 100% sure the money isn't needed AND the rate premium over 5-year is at least 0.25%. Often it isn't.
One nuance: most MYGAs allow a free withdrawal of 10% of the contract value per year with no surrender charge. So a $100K MYGA gives you $10K/year of penalty-free access. That covers most "what if" scenarios.
MYGA vs. CD — the comparison most people actually want
| 5-year MYGA | 5-year CD | |
|---|---|---|
| Current top rate (mid-2026) | ~5.50% | ~4.10% |
| Tax treatment | Tax-deferred | Taxed annually |
| Minimum | $10,000 | $500 |
| Insurance backing | State guaranty (~$250K) | FDIC ($250K) |
| Early withdrawal | 9-8-7-6-5% surrender + 10% IRS penalty if under 59½ | ~6 months interest |
| Free withdrawal feature | Usually 10%/yr | None |
| Rollover at maturity | Tax-free 1035 to new MYGA | Subject to tax if outside IRA |
A few notes:
- For IRA money, the tax-deferral comparison doesn't matter — both grow tax-deferred. MYGAs still win on rate.
- For non-qualified (taxable) money, MYGAs win bigger because you don't pay annual tax on interest you're not withdrawing.
- For money you might need in 1-2 years, stay in a CD or high-yield savings.
Full comparison: annuity vs CD →
Why most clients leave money on the table
Three patterns I see constantly:
1. Going direct to one carrier. You see one rate — the carrier's. You don't see the seven other carriers paying 0.30-0.75% more on the same term. Independent brokers see the whole market.
2. Confusing MYGAs with FIAs. A "fixed indexed annuity" sounds like a "fixed annuity" but it's a different product — rate tied to a market index with caps and participation rates. Not bad, just not the same thing. If you want simplicity, you want a MYGA.
3. Picking the wrong term for the wrong reason. Most people pick the term with the highest rate, then realize three years in that they need the money. The 7-year MYGA at 5.55% becomes a 5-year MYGA at 5.30% net of surrender charge.
The fix on all three: have someone show you the actual side-by-side comparison before you sign anything.
How my comparison works
You fill out the Discovery Form. I pull live rate sheets that day from every carrier I'm appointed with. Within one business day, you get a one-page PDF showing:
- Top 3 MYGAs for your target term, ranked by guaranteed rate
- Surrender schedule for each
- Free-withdrawal provision
- Carrier A.M. Best rating
- State guaranty limit in your state
- Minimum funding required
No call required. If you like what you see, we set up a 20-minute call. If not, you keep the comparison and use it however you want.
Common questions
What's the minimum to open a MYGA? Most carriers require $10,000. Top-rate MYGAs often require $25,000 or $50,000. A few accept $5,000 but with lower rates.
Are MYGAs FDIC insured? No. They're backed by the issuing insurance carrier and your state's guaranty association (limit usually $250K per carrier). The carriers I work with are all A.M. Best A- or higher with strong reserves.
Can I roll an existing annuity into a new MYGA? Yes — via a 1035 exchange. No tax event. We do this when an old annuity has matured or has a higher rate available elsewhere with no early-out penalty.
What happens if interest rates spike after I lock in? Your rate is locked. New MYGAs being sold will pay the new higher rate, but yours doesn't change. The opposite is also true: if rates drop, you're locked in at the higher rate.
Is the rate "really" guaranteed? Yes — it's a contractual obligation of the carrier, regulated by state insurance departments. Carriers are required to hold reserves backing every contract. State guaranty associations cover holders if a carrier ever fails.
Ready to compare?
*Hans Goldstein is an independent life and annuity broker, NPN 20602398. MYGAs are insurance products, not securities. Rates shown are illustrative as of publication; actual current rates available on request. Surrender charges, market-value adjustments, and IRS penalties may apply.*
Related reading
- Best MYGA Rates (updated monthly)
- Best Fixed Annuity Rates
- Annuity vs CD — the honest math
- Best CD Rates 2026
- MYGA carrier-by-carrier reviews
- CD bank-by-bank reviews
Get your live side-by-side comparison
Hans Goldstein, independent licensed insurance producer.
Drop your info and within one business day you'll get a written one-page comparison — top options for your target term, guaranteed rate, surrender schedule, carrier strength, and state guaranty limit. No pitch, no follow-up calls unless you ask.
Hans Goldstein · 213-414-2808 · NPN 20602398, independent licensed insurance producer appointed with multiple A-rated carriers
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