This calculator shows what a balance is actuarially worth as guaranteed income for life, under eight payment options, using published mortality and interest assumptions rather than a quote. It is a benchmark, not an offer.
What income would my balance buy for life?
Converting a 401(k), 403(b) or IRA balance into a guaranteed income you cannot outlive. This shows what the balance is actuarially worth under each payment option, and what a real insurance company would likely pay instead.
Indicative, not a personal assessment. The figures above apply published mortality and discount rates to what you entered, and they are a starting point rather than an assessment of your own circumstances. We can cover that in a short conversation.
Mortality from IRS Notice 2025-40, interest from IRS Notice 2026-57. Market range from Poterba and Solomon, MIT. Pension and annuity income exclusion from the instructions to Form NJ-1040, line 28a.
How it works
What the number is for
The figure tells you roughly what a lifetime income stream is worth given your age, the balance and the option, so that when you are shown a real quote you have something to measure it against. It is also the right way to think about a pension lump sum offer, which is the same question in reverse: the plan is offering a balance instead of an income, and this shows what that income is worth.
What an annuity costs you
Guaranteed income is bought with flexibility. Money committed to a lifetime payment is no longer available as a balance, it generally does not pass to heirs beyond whatever the option provides, and the decision is difficult or impossible to reverse. Those are the trade the calculator does not price, and the part worth thinking hardest about.
Questions
Common questions
Is this what an insurer would pay me?
Not necessarily. Real pricing reflects the carrier, the product, the commission and the date. Treat a quote materially better than this figure as a reason to ask what is different about it.
Several of these choices cannot be undone.
Guaranteed income is bought with flexibility, and the trade is difficult to reverse once made. We can cover it in a short conversation, at no charge and with no obligation.
Book your Retirement ReviewNot ready to book? Answer a few questions about your situation, or send a message.
Booking is handled through Rosefinch Investment Advisors. North Jersey Retirement is not affiliated with, endorsed by, or sponsored by any government agency, retirement system, plan sponsor, or employer named on this site.