How much monthly income does $250,000 buy?
It's the most practical question there is: hand an insurer $250,000, and what monthly check comes back? The honest answer is "it depends on three things" — but the ranges are large enough to be worth understanding before you decide.
The three levers that move your check
- Your age. This is the biggest one. A 70-year-old gets a materially larger monthly check than a 60-year-old for the same deposit, because the insurer expects to pay for fewer years. Every year you wait, the payout rises.
- Your gender. Because women live longer on average, a man's check is usually a little higher than a woman's at the same age.
- When income starts. Starting immediately pays less per month than deferring the start a few years, which lets the money grow first.
Why it beats the "4% rule" for pure income
The classic guidance says you can safely withdraw about 4% of a portfolio a year — on $250,000 that's roughly $10,000, or about $833 a month, and even then it's not guaranteed for life. A pension annuity typically pays more per month than the 4% rule, and guarantees it for life, because the insurer pools longevity risk across thousands of people. You're trading the lump sum's liquidity for a bigger, permanent check.
See your exact number
Rather than quote a single figure that won't match your situation, the calculator shows the top guaranteed payout for your age, gender, and amount — pulled from real current carrier rates. It takes about ten seconds and needs no sign-up.