I'm Hans Goldstein, EA, independent licensed insurance producer (NPN 20602398), admitted to practice before the IRS. I don't sell CDs, so these reviews are objective. The key question across every page: when does a CD make sense, and when does a Multi-Year Guaranteed Annuity (MYGA) beat it?
CD vs MYGA, after tax
Rates used: CD 4.50%, the top nationally available 5-year CD (DepositAccounts, September 24, 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 | $118,826 |
|---|---|
| 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 | $7,310 |
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.
MYGAs, Treasuries, T-bills, money funds and savings, with current rates and an after-tax calculator.
The halo page. Top CDs across every maturity from 6-month to 10-year. Refreshed monthly.
Top 10 ranked by APY. Best for short-horizon cash.
The decision page. 5-year CDs vs 5-year MYGAs with full $ math on $250K.
FDIC vs state guaranty fund. Annual tax vs tax-deferred. Liquidity. When each wins.
Tradeable vs locked. Stacking FDIC at Fidelity/Schwab/Vanguard.
Step-by-step ladder build. Worked $250K example. Ladder vs MYGA math.
No-fee online. No-Penalty CD option. $500 min.
Raise Your Rate + No-Penalty + Bump-Up options. No min.
Online + physical branches. No min deposit.
Strong rates. Bump-Up CDs + IRA CDs available.
10-year terms available. $2,500 min.
Citizens Bank online arm. $5K min (higher than peers).
Top 1-year rate. Has Money Market for between-CD parking.
UK-parent, US-charter. FDIC-covered. No min deposit.
The best MYGA, CD and savings rates change every few weeks. Get a short email when a rate on this page changes.
We’ll email you when a rate on this page changes. Hans Goldstein · NPN 20602398.
Rather talk it through? Or book 15 minutes on Hans’s calendar.
NCUA-insured. Open to all (no military requirement). $1K min.
NCUA-insured. Military, DoD, family. Highest yields in tier.
Every CD review and guide on this site, grouped so you can go straight to your bank, credit union or question.
Hans Goldstein · Retirement & income planning
Want more information on this? Put your name below and I’ll send it over. Plain English, no cost. If your situation has a wrinkle, reply to the email and tell me what it is; I read them.
You’re reading: CD Reviews, Independent Comparison vs MYGAs
No cost and no obligation. By submitting you agree to receive emails from Hans Goldstein. We never sell or share your information and you can unsubscribe from any email.
Hans Goldstein is an Enrolled Agent, admitted to practice before the Internal Revenue Service. Not affiliated with or endorsed by the IRS. General education, not tax or legal advice for your situation.