Goldstein Scorecard: C+ (dated October 4, 2026). See how it is graded.
Forethought ForeIncome II Review (October 2026): The Income Rider, 1.05% to 1.20% Fee, Payout Percentages and Current Caps
Written & reviewed by Hans Goldstein, EA, Independent Licensed Insurance Producer · CA license 4273294 · NPN 20602398Admitted to practice before the IRS
Facts verified against Global Atlantic’s ForeIncome II Product Highlights (09-26) and rate page on October 4, 2026 · Updated
ForeIncome II is a fixed index annuity from Forethought Life Insurance Company (Global Atlantic) with a lifetime income rider built in. Per the 09-26 Product Highlights, the rider costs 1.20% a year of the Withdrawal Base (Guaranteed Income Builder, a 10% simple deferral bonus for up to 15 years) or 1.05% (Income Multiplier, 3x interest credits). Single-life payout at 70: 8.23% or 6.35%. Caps on the rate page are effective 04/27/2026.
Correction: an earlier version of this page described ForeIncome II as a 10-year product, put single-life payouts at about 5.9% at 65 and 6.5% at 70, asked readers to confirm whether the roll-up was simple or compound, and listed Moody’s A3. The 09-26 Product Highlights show 5, 7 and 10-year schedules, Guaranteed Income Builder payouts of 7.67% at 65 and 8.23% at 70, and a simple 10% deferral bonus on premium; Global Atlantic’s ratings page shows Moody’s A2. The Weiss, KBRA, COMDEX, “Renewal Rate Integrity” and “Customer Service” grades, the competitor comparison table and the illustrative case study were removed because no dated primary source supports them.
Written by an independent licensed insurance producer (NPN 20602398). I am not making any representation about my appointment status with this carrier. All guarantees and crediting are backed by the claims-paying ability of Forethought Life Insurance Company.
How the ForeIncome II income rider works
The contract tracks two numbers. The Contract Value is your money: premium plus index or fixed interest, minus withdrawals and the rider charge. The Withdrawal Base is a separate number used only to size lifetime income; per Global Atlantic, it “is not available as a death benefit or for cash value surrender.”
- Guaranteed Income Builder Benefit (1.20%): the Withdrawal Base gets a deferral bonus of 10% of premium paid each year, for up to 15 years or until you activate income, with no interest credits added. No bonus in a year with a withdrawal.
- Income Multiplier Benefit (1.05%): the Withdrawal Base grows by 3x the dollar interest credited before activation and 1x after, and steps up to the Contract Value if that is higher on an anniversary.
Also see: Prudential FlexGuard Rates · Brighthouse Shield Level II RILA Rates · Athene Agility 10 Review
CD vs MYGA, after tax
What $100,000 earns in 5 years: CD vs MYGA, after tax
Rates used: CD 5.00%, the top nationally available 5-year CD (Bankrate, October 14, 2026); change it to the rate you are offered. MYGA 5.95%, the best A-rated rate we track as of October 13, 2026: Delaware Life Pinnacle Plus 5-year (AM Best A-, negative outlook, 7/31/2026), $100,000 and up, effective October 6, 2026 (Delaware Life rate sheet).
| CD, interest taxed every year | $121,081 |
|---|---|
| MYGA, tax-deferred, before tax | $133,507 |
| MYGA after paying tax on all the interest at withdrawal | $126,136 |
| Tax deferral alone adds about | $674 |
| MYGA ahead of the CD, after tax | $5,055 |
Assumes 22% federal and 0% state income tax, no withdrawals, rates held for the whole term. MYGA interest is taxed as ordinary income when you withdraw it, not as capital gains. Gains taken before age 59 1/2 can owe a 10% IRS penalty, and cashing out early can cost a surrender charge. In an IRA both grow tax-deferred, so the edge there is the rate alone. Bank and credit union deposits are FDIC or NCUA insured up to the limits; a MYGA is backed by the issuing insurer's claims-paying ability and your state's guaranty association up to its limits, not the FDIC. General education, not tax, legal or financial advice.
Payout percentages (locked at activation)
| Age at activation | Income Builder, single life (Level) | Income Multiplier, single life |
|---|---|---|
| 55 | 5.60% | 4.70% |
| 60 | 6.85% | 5.35% |
| 65 | 7.67% | 5.90% |
| 70 | 8.23% | 6.35% |
| 75 | 8.94% | 7.00% |
| 80 | 9.30% | 7.85% |
| 85 | 9.30% | 8.45% |
Contract basics
| Feature | ForeIncome II |
|---|---|
| Issuer | Forethought Life Insurance Company (Global Atlantic marketing name) |
| Issue ages | 45 to 85 |
| Premium | $25,000 minimum; $1,000,000 maximum ages 45 to 80, $500,000 ages 81 to 85 (per person, all annuities with the company) |
| Plans | Non-qualified, IRA, Roth IRA, SEP IRA |
| Rider charge | 1.20% (Guaranteed Income Builder) or 1.05% (Income Multiplier) of the Withdrawal Base, end of each contract year |
| Free withdrawal | Up to 10% of beginning-of-year Contract Value each year |
| Withdrawal charges | 5-yr: 8, 8, 7, 6, 5%. 7-yr: 8, 8, 7, 6, 5, 4, 3%. 10-yr: 9, 9, 8, 7, 6, 5, 4, 3, 2, 1% (CA: 9-year schedule) |
| MVA | Yes, on withdrawals above the free amount during the withdrawal charge period |
| Income activation | Age 55 or older; income option cannot be changed once activated |
| Income Enhancement Benefit | 2x the Lifetime Annual Payment for up to five years if unable to perform 2 of 6 ADLs for 90 days; no added cost; max issue age 75 |
| Guaranteed Minimum Surrender Value | Premium less withdrawal proceeds |
| Death benefit | Remaining Contract Value (the Withdrawal Base is not paid as a death benefit) |
| Minimum guaranteed caps | Not publicly disclosed; ask for the contract minimums in writing |
Current crediting rates
| Strategy (premium $100,000+) | Income Builder 5 / 7 / 10-yr | Income Multiplier 5 / 7 / 10-yr |
|---|---|---|
| S&P 500 1-yr point-to-point, cap | 4.50% / 5.00% / 5.00% | 5.00% / 5.50% / 5.75% |
| S&P 500 Engle 1-yr, cap | 6.25% / 7.00% / 7.00% | 7.35% / 8.25% / 8.75% |
| NASDAQ-100 Agile 1-yr, cap | 6.50% / 7.50% / 7.50% | 7.85% / 8.85% / 9.40% |
| PIMCO Balanced 1-yr, participation | 110% / 115% / 115% | 100% / 105% / 105% |
| PIMCO Balanced 2-yr, participation | 160% / 165% / 165% | 140% / 150% / 150% |
| S&P 500 1-yr performance trigger | 3.75% / 3.85% / 3.85% | 4.25% / 4.75% / 4.75% |
| Fixed rate | 2.75% / 3.00% / 3.00% | 3.00% / 3.25% / 3.25% |
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Goldstein Scorecard (dated October 4, 2026)
| Dimension | Grade | Basis (sourced fact) |
|---|---|---|
| Financial strength (AM Best) | A- | A (Excellent), stable outlook, for Forethought Life, per Global Atlantic’s ratings page (ratings as of June 30, 2025). |
| Rate or cap competitiveness | C | Fixed rate 2.75% to 3.25% (eff. 04/27/2026) vs 5.65% on Forethought’s own SecureFore 5 MYGA ($100,000+, eff. 09/21/2026). Expected: the rider budget comes out of crediting. |
| Guaranteed floor | C- | 1.00% minimum caps in the 06-21 disclosure (ForeIncome II disclosure ICC17-FA5362-01 (06-21), checked October 4, 2026); newer strategies' minimums are not public. The Guaranteed Minimum Surrender Value (premium less withdrawals) is a real floor on surrender after the charge period. |
| Liquidity | C+ | 5, 7 or 10-year schedules starting at 8% or 9%, MVA, 10% free withdrawal. |
| Costs | C | 1.05% or 1.20% a year of the Withdrawal Base, which grows; the dollar charge rises each year the base rises. |
| Transparency | B+ | Rider fee, payout table and full rate table published; caps dated 04/27/2026; minimum caps not public. |
| Complexity | C | Two income engines, two payout options, three Lifestyle phases and 10 crediting strategies. |
| Guaranteed minimum cap | 1.00% | S&P 500, BlackRock Diversa, MSCI EAFE and Russell 2000 1-year caps, ForeIncome II disclosure ICC17-FA5362-01 (06-21) (checked October 4, 2026). Minimums for newer strategies (NASDAQ-100 Agile, S&P 500 Engle) are not publicly disclosed. |
| Minimum participation rate | 10% | PIMCO Balanced 1-year, ForeIncome II disclosure ICC17-FA5362-01 (06-21). |
| Maximum spread | 15% | 2-year spread strategies, ForeIncome II disclosure ICC17-FA5362-01 (06-21). |
| Bailout | Per strategy | Withdrawal charge waiver: if a renewal rate falls below that strategy's bailout rate, withdrawals that contract year are free of withdrawal charges and MVA. Examples: 3.00% on the S&P 500 1-year cap, 2.00% on the S&P 500 trigger and the fixed account (ForeIncome II disclosure ICC17-FA5362-01 (06-21)). |
| Overall | C+ | Weighted toward financial strength, guaranteed floor and liquidity for a buyer who wants a known result. |
How these contract minimums compare across products: guaranteed minimum caps across FIAs (October 2026).
Pros and cons
- Pro: payout percentages, rider fees and the full rate table are published, so the income can be checked against the documents.
- Pro: the Guaranteed Income Builder’s 10% simple deferral bonus makes the Withdrawal Base predictable for up to 15 years if you take no withdrawals.
- Pro: Income Enhancement Benefit (2x payments for up to five years with 2 of 6 ADLs) at no added cost, and nursing care and terminal illness waivers.
- Con: the rider charge is 1.05% or 1.20% of the Withdrawal Base, which grows, so the dollar charge grows too, whether or not you ever turn income on.
- Con: crediting is modest: the fixed rate is 2.75% to 3.25% (eff. 04/27/2026), against 5.65% on Forethought’s own SecureFore 5 MYGA at $100,000+.
- Con: withdrawal charges of up to 9% plus an MVA, and minimum guaranteed caps are not public.
Who it’s for, and when to look elsewhere
Fits: someone 45 to 70 who wants a known lifetime income amount starting at 55 or later, will actually activate it, and has other money for emergencies.
Look elsewhere if: you mainly want growth or a known rate. A MYGA locks a declared rate for the term with no rider charge; Forethought’s own SecureFore 5 pays 5.65% for $100,000 or more (rate sheet effective 09/21/2026). For comparison, A-rated-or-better insurers were paying about 5.50% to 6.05% on 5-year MYGAs and the best nationally available 5-year CDs about 4.70% to 5.00% APY (MYGAs: public carrier rate sheets, October 14, 2026; CDs: Bankrate and Popular Direct, October 18, 2026). Current rates: MYGA rates. If you want income now, compare an immediate annuity; if you may not activate income, the rider charge buys nothing.
Check the math: Income rider vs annuitization calculator · Surrender charge calculator · Annuity calculator · ForeAccumulation II review · Forethought and Global Atlantic company review · Income rider fee vs payout math
Questions to ask your agent
- What are the minimum guaranteed caps and participation rates in this contract, in writing, for each strategy I would use?
- Show me the full surrender (withdrawal charge) schedule by year for the 5, 7 or 10-year version you are recommending, in my state, plus how the MVA works and the 10% free withdrawal.
- Show me the Contract Value and the Withdrawal Base side by side for every year, after the rider charge, at my planned activation age.
- What is the guaranteed annual income in dollars at the age I plan to activate, single and joint, and what happens to it if I take an extra withdrawal?
- How are you paid on this product? The commission comes from the insurer, is built into pricing and is not deducted from my premium. What percentage is it, and does the 10-year version pay you more than the 5-year? (Background: how annuity commissions work.)
From my desk
On a ForeIncome II illustration, I first find the rider charge line and check it is computed on the Withdrawal Base, then compare the Contract Value column with the Withdrawal Base column year by year. The gap between them is what the rider is selling.
The number buyers most often misread is the “10%”. It is a simple deferral bonus on premium added to an income-only base, not 10% interest on your money.
Hypothetical, not a quote: $200,000 at age 60 with the Guaranteed Income Builder and no withdrawals builds a Withdrawal Base of about $400,000 by 70 (10% of premium a year for 10 years). At the 8.23% single-life Level percentage, that is about $32,900 a year for life. Over those 10 years the 1.20% charge on a base rising from $220,000 to $400,000 adds up to about $37,000 taken from the Contract Value. My comparison is always a MYGA for the same 10 years followed by an immediate annuity quote at 70, side by side in dollars.
Frequently asked questions
What is Forethought ForeIncome II?
A single premium fixed index annuity issued by Forethought Life Insurance Company (Global Atlantic) with a guaranteed lifetime withdrawal benefit included at issue. You choose one of two income engines at issue: the Guaranteed Income Builder Benefit or the Income Multiplier Benefit.
How much does the ForeIncome II income rider cost?
Per the Product Highlights (FIA1213-5, 09-26), 1.20% a year of the Withdrawal Base for the Guaranteed Income Builder Benefit or 1.05% for the Income Multiplier Benefit, charged at the end of each contract year. The charge is on the Withdrawal Base, not the Contract Value, and cost may vary by withdrawal charge period.
Is the ForeIncome II roll-up simple or compound?
Simple. The Guaranteed Income Builder adds 10% of the premium paid (reduced for withdrawals) each year for up to 15 years or until you activate income, and no deferral bonus is credited in a year with a withdrawal. The Withdrawal Base is not cash and is not paid as a death benefit.
What are the ForeIncome II payout percentages?
Single life, Level option, Guaranteed Income Builder: 5.60% at 55, 6.85% at 60, 7.67% at 65, 8.23% at 70, 8.94% at 75, 9.30% at 77 and older. Income Multiplier: 4.70% at 55, 5.35% at 60, 5.90% at 65, 6.35% at 70, 7.00% at 75. Joint life is 0.50% lower at each age. You must be at least 55 to activate.
What is the ForeIncome II surrender schedule?
Five-year: 8, 8, 7, 6, 5%. Seven-year: 8, 8, 7, 6, 5, 4, 3%. Ten-year: 9, 9, 8, 7, 6, 5, 4, 3, 2, 1%. California uses a 9-year schedule, and availability varies by firm. A market value adjustment applies to withdrawals above the 10% free amount during the charge period.
What are current ForeIncome II caps?
Global Atlantic’s ForeIncome II rate page (checked October 4, 2026) shows rates effective 04/27/2026, for example an S&P 500 one-year cap of 4.50% to 5.00% with the Guaranteed Income Builder and 5.00% to 5.75% with the Income Multiplier, depending on the 5, 7 or 10-year schedule. Minimum guaranteed caps are not publicly disclosed.
Sources (checked October 4, 2026)
- Global Atlantic, ForeIncome II Product Highlights (FIA1213-5): dated 09-26
- Global Atlantic, ForeIncome II rates page: rates effective 04/27/2026, checked October 4, 2026
- Global Atlantic, Financial Strength (ratings): ratings as of June 30, 2025
- Global Atlantic, SecureFore 5 rate sheet (FA7413): effective 09/21/2026
Hans Goldstein is an independent licensed insurance producer (CA license 4273294, NPN 20602398). Not affiliated with Global Atlantic or Forethought Life. Figures are copied from the documents named, with their dates; they change and vary by state and firm. Examples labelled hypothetical are illustrations, not quotes.
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Disclosure
This review is based on the carrier's public product materials and rates as of the date shown above. Annuity rates, caps, participation rates, payout factors, crediting methods, and long-term care benefit structures change often, sometimes monthly. Confirm current figures in the latest carrier disclosure and the contract before you buy. This is general education, not a personal recommendation or an offer of any product. Hans Goldstein is an independent licensed insurance producer (CA license 4273294, NPN 20602398) appointed with several A-rated carriers. His appointment with the carrier reviewed here may vary, and this review is not an endorsement. No carrier paid for this review. Always read the actual contract and consult a licensed advisor before purchasing any annuity or long-term care insurance product. Past index performance does not predict future credited interest. Annuities and hybrid life+LTC policies are long-term contracts with surrender charges; they are not suitable for funds you may need before the end of the surrender period. AM Best ratings and tax treatment are subject to change. Tax discussion of IRC §7702B, §1035, and the Pension Protection Act of 2006 reflects law as of 2026 and is subject to change.