2026 Edition · St. Petersburg, FL
Complete Guide to Annuities in St. Petersburg
An annuity is a contract with an insurance company that exchanges a lump-sum or series of payments for guaranteed income. In St. Petersburg, FL — where roughly one in four residents is over 65 — they are one of the most common tools used to convert retirement savings into income that can't be outlived. This guide covers every type of annuity, current 2026 pricing, the mistakes we see most often, and how to choose the right one.
Florida Annuity & Retirement Stats — 2026
- Top 5-yr MYGA rate, Apr 2026
-
5.85%
Top 5-yr MYGA rate, Apr 2026
- SPIA payout per $100k at age 65
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$640/mo
SPIA payout per $100k at age 65
- Avg income rider rollup, 2026
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7.25%
Avg income rider rollup, 2026
- US annuity sales, 2025 (LIMRA)
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$432B
US annuity sales, 2025 (LIMRA)
Sources: LIMRA Q1 2026, AnnuityAdvantage rate survey, ACM internal data.
Quick Answer
- Most St. Petersburg retirees use fixed index annuities or MYGAs — both protect principal.
- Top 2026 MYGA rates are 5%–6% guaranteed for 3–7 year terms.
- A 65-year-old can lock in roughly $570–$660/month per $100k in lifetime income.
- Independent agencies like ACM cost no more than buying direct.
Who Annuities Are For
Annuities work best for St. Petersburg pre-retirees aged 55–70 who want guaranteed income they can't outlive, federal employees rolling over a TSP, anyone shaken by 2022 or 2008 market drops, retirees holding more than $50,000 in low-yield CDs, and surviving spouses needing predictable monthly income.
In our experience, annuities work best for these St. Petersburg residents:
- Pre-retirees aged 55–70 who want guaranteed income they can't outlive
- Federal employees rolling over a TSP balance
- Anyone who lost sleep during the 2022 or 2008 market drops
- Retirees holding more than $50,000 in low-yield bank CDs or money markets
- Surviving spouses needing predictable monthly income
The Five Types of Annuities Explained
The five main annuity types are MYGAs (5%–6% fixed for 3–7 years), fixed index annuities (0%–9% credited with principal protection), immediate SPIAs (income now, $570–$660/mo per $100k at 65), deferred income annuities (6%–8% rollup), and variable annuities (market-linked with risk).
| Type | Best For | Typical 2026 Rate | Risk |
|---|---|---|---|
| MYGA | Conservative savers, CD alternative | 5%–6% fixed | None to principal |
| Fixed Index | Growth + protection | 0%–9% credited yearly | None to principal |
| Immediate (SPIA) | Income now | $570–$660/mo per $100k at 65 | Loss of liquidity |
| Deferred Income | Future pension replacement | 6%–8% rollup on income base | None to principal |
| Variable | Aggressive growth seekers | Market-linked | Principal at risk |
What Annuities Actually Cost in 2026
MYGAs and fixed index annuities have no upfront sales charge — 100% of premium is invested. Optional income riders cost 0.85%–1.25% per year of the income base. Death benefit riders run 0.40%–0.75%. Variable annuities can total 2%–4% all-in. Surrender charges decline from ~9% to 0% over the term.
- MYGA & fixed index: $0 upfront; full premium is invested.
- Income rider: 0.85%–1.25% of the income base per year.
- Death benefit rider: 0.40%–0.75% per year (optional).
- Variable annuity all-in: 2%–4% per year — usually too expensive for our clients' goals.
- Surrender charges: Declining schedule, typically 9% in year 1 to 0% after the term.
Our Process at ACM
ACM's five-step annuity process: (1) free 20-minute review of your goals and accounts, (2) custom comparison across 12+ A-rated carriers, (3) plain-English written analysis of payouts, fees, and surrender schedules, (4) we handle paperwork — IRA/TSP rollovers fund in 2–4 weeks, and (5) annual reviews for life.
- Free 20-minute review. We listen to your goals and current accounts.
- Custom carrier comparison. We run quotes from 12+ A-rated carriers.
- Side-by-side written analysis. You see every option in plain English — payout, fees, surrender schedule.
- Application & funding. We handle paperwork; funding clears in 2–4 weeks for IRA/TSP rollovers.
- Annual reviews. We monitor rates and rider opportunities for the life of the contract.
Common Mistakes We See
The most common annuity mistakes are: buying a high-fee variable annuity for income, ignoring the surrender schedule, annuitizing a SPIA without a period certain, skipping carrier comparison (payouts can vary 15%+), and naming the wrong beneficiary — which can route assets through Florida probate.
Buying a variable annuity for income.
All-in fees often exceed the income rider rollup. A fixed index or deferred income annuity usually wins.
Ignoring the surrender schedule.
Picking a 10-year contract when you'll need the money in 5 leads to avoidable charges.
Annuitizing a SPIA without a period certain.
If you pass away in year 2 with no period certain, the income stops with no refund.
Skipping carrier comparison.
Two A-rated carriers can quote payouts that differ by 15%+ on the same age and premium.
Naming the wrong beneficiary.
Failing to name a contingent beneficiary can route assets through probate in Florida.
Annuities vs Other Retirement Tools
A 5-year MYGA pays 5%–6% with full principal protection and tax deferral. A 5-year bank CD pays 3.8%–4.5% with FDIC coverage up to $250k but no tax deferral. Treasuries yield ~4.2%. Stocks have variable returns with no protection. Fixed index annuities credit 0%–9% with optional lifetime income.
| Tool | 2026 Yield | Principal Protected | Lifetime Income | Tax Deferral |
|---|---|---|---|---|
| 5-Year MYGA | 5%–6% | Yes | Optional | Yes |
| 5-Year Bank CD | 3.8%–4.5% | FDIC ≤ $250k | No | No |
| Treasury Bond | ~4.2% | Yes if held | No | No (federal) |
| Stock Portfolio | Variable | No | No | Inside IRA only |
| Fixed Index Annuity | 0%–9% credited | Yes | With rider | Yes |
Frequently Asked Questions
Annuities in Florida have no upfront sales charge for MYGAs and fixed index products. A 65-year-old can lock in $570–$660/month per $100k. 401(k) and TSP rollovers into annuities are tax-free when done as a direct trustee transfer. Florida has no state income tax on annuity payouts.
How much does an annuity cost in St. Petersburg, FL?
What is the typical payout rate on a lifetime income annuity in 2026?
Are annuities a good idea for Florida retirees?
What's the difference between a MYGA and a fixed index annuity?
How long does it take to set up an annuity?
Do I lose access to my money in an annuity?
Should I use an independent agent like ACM or buy direct from an insurance company?
Is my annuity safe if the insurance company fails?
Why Choose ACM
Advanced Capital Management has been placing annuities for St. Petersburg retirees since 1986. We are independent — we shop 12+ A-rated carriers — and our founder John Ziesing is FRC-certified to handle federal employee rollovers from TSP. Our Google rating is 5.0 across 28 reviews.
Use our Income Rider Calculator or our CD vs Annuity comparison to run the numbers, then book a free review.
Ready to See Your Numbers?
Book a free 20-minute review. We'll quote multiple carriers and show you exactly what guaranteed income looks like for your age and savings.