Key Highlights
- F&G gives you Multi-Year Guaranteed Annuities (MYGAs), which have a fixed rate of return that stays the same during the whole guarantee period.
- These MYGAs help your money grow without being taxed right away. You pay taxes only when you take money out, so your interest can pile up before that.
- F&G MYGA rates come in 3-year and 5-year Single Premium Deferred Annuities. Both have competitive interest rates that can help you get more from your savings.
- You also get some good features like the choice to take out money without a penalty if you face terminal illness or if you have to stay in a nursing home.
- F&G gets high financial strength ratings from leading agencies. This means you can count on them to protect your money for the long haul.
Introduction
A Multi-Year Guaranteed Annuity (MYGA) is a good choice if you want things to be simple and safe as you plan for retirement. With a MYGA, you get a fixed interest rate that stays the same for the whole term, so your money grows in a safe way without taxes each year. Companies like Fidelity & Guaranty Life Insurance Company (F&G) offer MYGAs. The financial strength of F&G and their great customer service let you trust them to look after your money. When you talk to a financial professional, they may tell you that MYGAs and other annuity choices like these give you a strong way to protect your income when you retire. If you want stability, a fixed interest rate, and to work with a company with trusted customer service and reliable products, a MYGA from a company like Fidelity & Guaranty Life Insurance could fit your needs.
Understanding MYGA and Its Benefits
MYGAs are a type of fixed annuity. They give you a steady way to invest your money with long-term peace of mind. You get a fixed rate of return, so you know what you will earn. There are also tax perks that can help you save. All of this can make your retirement planning easy. It takes away some of the money worries people often have.
One great thing about MYGAs is the guarantee period. You lock in your fixed rate of return for 3, 5, or 7 years. During this time, your money will grow and you don’t pay taxes on what you earn until later. MYGAs are made so you can match them with your own money goals. While you get safety, you also have the choice to pick a time that works for you. Now, let’s talk about how this annuity works and see the main features.
What is a Multi-Year Guaranteed Annuity (MYGA)?
A multi-year guaranteed annuity (MYGA) is a type of annuity that gives you a fixed interest rate for a set number of years. You can choose a term that is usually between three and ten years. This means you will know how much interest you will get each year, so your income will be more predictable. People often use a MYGA for long-term planning. You do not have to worry about changes in the market because your rate will not go up or down. This way, all of us can have more confidence in our future finances when we pick this kind of annuity.
Key Benefits of Investing in MYGA
One big plus of MYGAs is the fixed rate of return. This means you always know how much your money can grow during the guarantee period. It helps give you steady income growth. This steady growth also works well with tax-deferred gains.
The guarantee period can last for 3, 5, or even 7 years. This helps people plan their money in a better way. MYGAs also help your beneficiaries. After you pass away, the annuity goes right to them. This moves faster since it does not go through probate, so there are fewer problems during estate planning.
MYGAs are not like accounts that can go up and down a lot. With a MYGA, you can do penalty-free withdrawals within certain limits. In cases like nursing home care or terminal illness, you can also take money out without surrender charges. This means you can still use your money when you need it most. Because of this flexibility, the steady rate, and more control over your money, MYGAs are a good choice for people who want long-term financial strength.
Analyzing F&G MYGA Rates
F&G’s MYGA rates give people steady and strong choices if they want to keep their money safe. The rates are set up to match many different money goals. Because of this, these annuity options are a good tool for anyone thinking about retirement.
Their Single Premium Deferred Annuity has two main choices. You can pick a 3-year plan or a 5-year plan, and the rate depends on how much money you put in at the start. F&G also has top financial strength ratings. This way, you get dependable growth and the flexibility to use your money if you need it. Next, we will look closer at their exact rates and see how they compare to others in the market.
Current Rates Offered by F&G
F&G gives you great flexibility with the rates you get, which depend on the length of the contract and how much money you put in. The rates change for premiums under $100K and for those over $100K.
| Premium Size | 3-Year Annuity Rate | 5-Year Annuity Rate |
|---|---|---|
| Under $100K | 4.65% | 5.00% |
| Over $100K | 4.90% | 5.20% |
From April 16, 2025, these rates will give you fixed returns for the whole term. Still, it is important to remember that surrender charges and a possible Market Value Adjustment may apply if you take money out early.
These good rates, plus the features like tax-deferred growth, help you keep flexibility. If you choose F&G’s MYGA, you get something reliable for your long-term financial planning.
How F&G Rates Compare to Market Averages
F&G MYGA rates are often better than rates from a lot of other insurance companies. The company is in good financial shape and they give some good interest options. When you look at the market, you can see that F&G rates do compete well with those at the top. This gives people who buy the plans some great choices.
F&G surrender charge periods are much like what you see in the rest of the industry. The company uses a market value adjustment (MVA) too. This helps make the plans flexible but still keeps your returns strong. So, your payout changes based on what’s going on in the bigger financial world.
People who want high rates and also want shorter surrender times often like what F&G has to offer. When you compare these rates to what is common in the market, F&G stands out because their interest rates can help most people stick to and grow their long-term plans.
Conclusion
To sum up, getting to know F&G MYGA rates is important if you want to have a steady income that is guaranteed. When you look into the good things about Multi-Year Guaranteed Annuities, or MYGAs, and check the current rates with F&G, you have the info you need to choose what’s right for you. MYGAs help you get peace of mind. You know you will get returns that are guaranteed, and this makes it easier to plan for your future. They can also be flexible for your needs. If you want help with your money plans, talk to us for a free chat. See how MYGAs can help you and make your future safer.
Frequently Asked Questions
How does a MYGA differ from other annuity products?
MYGAs have a fixed interest rate that stays the same for several years. This is not like variable annuities, which can go up or down based on how the market does. CDs also give you guarantees, but MYGAs be different because you get tax deferral. You can also get special options for retirement, such as guaranteed income and waivers for nursing care. A good idea is to talk with an advisor to see how the benefits of MYGAs can fit your retirement plan.
What are the tax implications of investing in a MYGA?
MYGA investments help your money grow quietly over time because you do not have to pay taxes on the interest you get until you take your money out. Talk to a financial professional in Des Moines or where you live. They can help you know what this means for your account value. If you take money out early, there can be penalties. This could mean you get less from your savings.