Interest rate locked in for the term you select — typically 3 to 10 years.
Multi-Year Guaranteed Annuity
What is a Multi-Year Guaranteed Annuity?
A Multi-Year Guaranteed Annuity (MYGA) is a type of fixed annuity that offers an interest rate locked in for a defined term — typically 3 to 10 years. Often compared to a high-yield CD, MYGAs offer the added benefit of tax-deferred growth.
MYGAs may be a fit for clients who want a predictable rate of return and principal protection over a specific time horizon, without exposing assets to market volatility.
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Principal protection from market volatility, subject to carrier terms.
Why consider a MYGA?
A MYGA may be a fit for clients who want CD-like predictability with the added benefit of tax-deferred growth — and a higher rate than most traditional savings products typically offer.
Built for predictability
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Interest rate is locked at issue and remains in place for the entire term.
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Principal is protected from market volatility, subject to carrier and contract terms.
Built for tax efficiency
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Interest grows tax-deferred — you don't pay taxes until withdrawal.
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Tax-deferred compounding may produce higher net returns than taxable savings vehicles.
Designed like a CD, structured better
A MYGA is often compared to a CD — and the structure is similar. But MYGAs add tax-deferred growth and often offer higher published rates than CDs of the same term.
Locked Interest Rate
Tax-Deferred Compounding
Principal Protection
MULTI-YEAR GUARANTEED ANNUITY
Designed like a CD, structured better
A MYGA is often compared to a CD — and the structure is similar. But MYGAs add tax-deferred growth and often offer higher published rates than CDs of the same term.
Locked Interest Rate
Rate is guaranteed for the entire term you choose — 3, 5, 7, or 10 years are common options.
Tax-Deferred Compounding
Interest is not taxed until withdrawn — letting your earnings compound more efficiently than a taxable account.
Principal Protection
Your initial deposit is protected from market losses, subject to carrier terms.
MULTI-YEAR GUARANTEED ANNUITY
The right tool for a defined time horizon
MYGAs are designed for clients who have a specific time horizon in mind — money they won't need to touch for several years, and want growing predictably in the meantime.
Flexible Term Options
Select a duration that fits your timeline — short, medium, or long.
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3-, 5-, 7-, and 10-year terms commonly available.
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Longer terms typically offer higher rates.
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Many MYGAs allow withdrawal of accumulated interest annually without surrender charges.
Often Higher Yields than CDs
MYGAs typically offer higher published rates than CDs of the same maturity, plus the added benefit of tax-deferred growth.
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Compare any MYGA quote against the best available CD rate for the same term.
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Factor in tax deferral when comparing net returns.
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MYGAs are issued by insurance carriers and are backed by the carrier's claims-paying ability.
MULTI-YEAR GUARANTEED ANNUITY
Is a MYGA right for you?
A MYGA may be a fit if you want CD-like predictability, have a defined time horizon, and want tax-deferred growth on assets you won't need to touch during the term.
Best for assets you don't need short-term
MYGAs typically have a surrender period equal to the term. Early withdrawal beyond the free-withdrawal amount may incur a surrender charge. Plan to leave the money in for the full term.
A high-yield alternative to bonds and CDs
MYGAs typically offer higher rates than CDs of the same term, with the added benefit of tax deferral. They're often used in retirement portfolios as the 'safe money' anchor.
Backed by carrier strength
MYGAs are issued by insurance carriers and backed by the carrier's claims-paying ability. We help you compare both rates and carrier financial strength.
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MULTI-YEAR GUARANTEED ANNUITY FAQS
Frequently asked questions
What is the 'Guarantee' in a MYGA?
A MYGA locks in a specific interest rate for a defined term (like 3, 5, or 7 years). The carrier is contractually obligated to credit that rate for the entire term, subject to its claims-paying ability. It's essentially a high-yield CD with tax-deferred growth.
How is a MYGA different from a CD?
Both lock in a rate for a defined term. Key differences: MYGAs are issued by insurance carriers (not banks); interest grows tax-deferred until withdrawal; rates are typically higher than CDs of the same term; MYGAs typically have surrender periods aligned with the term.
How do I fund a MYGA?
You can fund with qualified money (rollovers from 401(k) or IRA) or non-qualified money (cash, savings, sale proceeds). We'll walk you through the most tax-efficient approach.
Can I access my money during the term?
Most MYGAs allow withdrawal of accumulated interest annually without a surrender charge — typically 10% of the contract value. Larger withdrawals during the surrender period may incur a surrender charge.
What happens at the end of the term?
When the term ends, you typically have options: take a lump-sum withdrawal, roll the balance into a new MYGA at then-current rates, or convert to a different type of annuity. We'll review your options as the term-end approaches.
Are MYGAs insured?
MYGAs aren't FDIC-insured. They're backed by the issuing insurance carrier's claims-paying ability and, in most states, by a state guaranty association up to certain limits. We help you compare both rates and carrier financial strength ratings.
