Variable Annuity Calculator

Model a variable annuity from contributions, market returns, fees, and scheduled withdrawals to project balance, total fees, and depletion year.

875.6K uses Updated · 2026-05-14 Runs locally · zero upload
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The Variable Annuity Calculator simulates a variable annuity contract by combining a principal, periodic contributions, expected market return, annual fees, and scheduled withdrawals. It produces the projected ending balance, total fees, total withdrawn, and the year (if any) when the account is depleted.

How to Use Variable Annuity Calculator

  1. Enter initial principal and per-period contribution amount.
  2. Select contribution frequency (monthly, quarterly, or annual).
  3. Set the expected annual return and annual fee rate.
  4. Provide the withdrawal start year and per-period withdrawal amount.
  5. Review the projected ending balance, fees paid, and any depletion year.

Formula & Theory - Variable Annuity Calculator

For each period:
balance = (balance + contribution - withdrawal_if_started) × (1 + net_periodic_return)
net_periodic_return = (annual_return - annual_fee) / frequency

Use Cases for Variable Annuity Calculator

  • Stress-test a variable annuity before purchasing.
  • Compare the impact of different fee levels on long-term returns.
  • Estimate how long withdrawals can be sustained.
  • Plan staggered withdrawals across multiple retirement vehicles.

Frequently asked questions about Variable Annuity Calculator

Are guarantees and riders modeled?

No. Insurance riders and minimum-income guarantees vary by contract and should be modeled separately.

Why are fees so important?

Variable annuity fees can be 1%–3% per year and compound over decades, significantly reducing long-term value.

Can I model a flat market return?

Yes. The tool uses a constant return assumption. Run multiple scenarios with different returns to approximate market volatility.

Is my data stored?

No. All calculations stay in your browser.