Fixed Annuity Rates: Compare Today's Best MYGA Rates August 2026

Fixed Annuity Rates: Compare Today's Best MYGA Rates August 2026

Finding the best annuity rates is essential for maximizing your guaranteed retirement returns, especially when you’re looking at a Multi-Year Guaranteed Annuity (MYGA). As of August 2026, top fixed annuity rates have reached up to 6.30%, offering a secure way to grow your principal shielded entirely from market volatility. This guide will help provide you with a direct comparison of current fixed annuity rates across leading terms and providers to help you find the right vehicle for your retirement strategy.

What Is a Fixed Annuity?

A fixed annuity serves as a foundational insurance contract that’s geared towards financial preservation and retirement security. The consumer provides a premium payment to the carrier, which guarantees protection of their principal alongside reliable growth metrics. These financial vehicles are explicitly categorized into two types depending on when you choose to access your distributions: fixed deferred annuities and fixed immediate annuities.

Fixed Deferred Annuities

Deferred annuities prioritize accumulation and asset growth. The funds sit undisturbed inside the contract, compounding over time without incurring annual income taxes on the growth. This tax-advantaged deferral accelerates your wealth-building potential when compared to traditional taxable accounts.

Fixed Immediate Annuities

This alternative skips the multi-year accumulation phase entirely to focus on instant cash generation. Upon receiving the initial premium, the insurance carrier sets up a permanent distribution framework that pays out predictable revenue. This structure functions effectively as a private pension to guarantee that you have income throughout your life (if a lifetime option is selected). For an in-depth review of immediate annuities, view our dedicated comparison guide.

What Affects Your Fixed Deferred Crediting Rate

There are several distinct components that shape the crediting rate an insurance carrier offers on fixed products. The main drivers influencing fixed yields include:

• Agent Commissions: Traditional distribution models bake in agent sales commissions (often up to 1-3%), depressing your final yield. Canvas Annuity operates entirely commission-free and is therefore able to offer higher crediting rates.
• Surrender Charge Periods: Generally, committing to a longer lock-in period allows carriers to invest in longer-term fixed-income securities, often yielding a higher crediting rate.
• Market Value Adjustments (MVA): Contracts featuring an MVA shift interest rate risk back to the consumer, which alters pricing compared to non-MVA choices. Canvas Annuity contracts do not have an MVA.
• Optional Riders: Adding customizable layers, such as severe illness riders or death benefits, can alter pricing. Canvas Annuity offers a critical and terminal illness rider free of charge, and does not charge for death benefit protection and provides contract liquidity through 10% free withdrawal options.

Fixed Annuities vs. CDs

Savers looking for security will frequently weigh fixed annuity options against bank Certificates of Deposit (CDs). While both frameworks completely insulate your initial investment from equity market drops, annuities are different in that they deliver the structural advantage of tax deferral.

CD owners must pay ordinary income tax on their interest gains every single year, even if they don’t take withdrawals from the CD. Fixed annuities avoid this drag entirely, allowing the portion of your balance that would have gone toward annual taxes to remain in the account and continue compounding until withdrawal.

Bank CD APY information accurate as of August 2026.

Today's Best Fixed Annuity Rates by Term

Fixed annuities, specifically MYGAs, lock in a predictable interest rate for a predetermined number of years. This allows conservative savers and self-directed investors to plan their financial timelines with absolute certainty. The following tables outline today's best fixed annuity rates across multiple guarantee periods, updated to reflect the current August 2026 market conditions.

Best 3-Year Guaranteed Rates

Short-term MYGAs offer excellent flexibility for money that you may need within a few years, without forcing you into long-term illiquidity. The 3-year term acts as an excellent alternative to standard bank vehicles for intermediate planning.

Rates current as of August 2026. Canvas Annuity rates are commission-free and applied directly to your principal.

Best 5-Year Guaranteed Rates

The 5-year guarantee period represents the market's sweet spot for balancing extended interest compounding against premature capital lockup. It remains one of the most frequently selected term lengths due to this balanced timeline.

Rates current as of August 2026. Canvas Annuity rates are commission-free and applied directly to your principal.

When evaluating 5-year annuity rates, you should look beyond the number itself to understand how the contract treats your money over time. In this case, the Canvas Annuity Future Fund stands out by providing direct online access, allowing you to bypass the typical agent sales process entirely. Other key advantages of the Canvas Future Fund include:

• Penalty-Free Withdrawals: Access up to 10% of your account value annually without incurring surrender charges.
• No Market Value Adjustments (MVA): Your funds remain insulated from the fluctuating interest rate cycles that alter the money you will receive on a withdrawal or surrender.
• Zero Commissions & Fees: Because Canvas Annuity does not charge administrative fees or agent commissions, your money compounds with maximum efficiency from day one.
• 100% Online Self-Service Purchase: Complete your application securely online in a matter of minutes with just a few simple clicks.

Best 7-Year Guaranteed Rates

For investors with an extended runway before they require active retirement distributions, the 7-year timeline secures long-term peace of mind. Extending the contract window provides deep protection against intermediate interest rate drops.

Note: For savers seeking maximum earnings over a longer horizon, the Canvas Annuity Future Fund also offers a 10-year term locking in a rate of 6.30%, compared to an AM Best B++ carrier average of 5.75% for the same duration.

Why Rates Vary Between Insurance Companies

So why is there so much variation between companies? Legacy providers generally utilize massive networks of commission-based agents, which requires them to lower crediting rates to pay for high distribution costs. By comparison, Canvas Annuity operates under a modern direct-to-consumer model that passes those middleman savings straight back to the buyer.

Rates current as of August 2026. Canvas Annuity rates are commission-free and applied directly to your principal.

How to Compare Annuity Rates

If you’re evaluating alternative fixed contract structures, you’ll need to look comprehensively at all of the primary variables. Comparing options solely based on the highest headline number can unfortunately introduce unseen trade-offs later on if you’re not paying close attention. Planners should prioritize analyzing core contractual mechanisms including:

• Guaranteed Stated Rate: Look for the core crediting rate rather than introductory "bonus" rates that drop significantly after the first year or high simple interest rates that translate into much lower compound interest rates and therefore less interest earned over time.
• Contract Guarantee Period: Match the duration of the contract term (e.g., 3, 5, 7, or 10 years) with your personal cash flow needs and time horizon. Consider a laddering strategy to access money at different periods of time.
• Surrender Charge Schedule: Check the financial penalties applied if you withdraw more than the allowable limits before the contract matures.
• Market Value Adjustment (MVA): Determine if the insurer modifies your withdrawal amount based on prevailing external interest rate changes.
• Financial Strength Rating: Verify independent evaluations from agencies like AM Best to confirm the insurer's long-term claims-paying ability.

Is Now a Good Time to Lock In a Fixed Annuity Rate?

Choosing to secure a fixed contract now eliminates reinvestment risk by locking in high rates before any potential downward structural moves happen across the broader banking sector. Because a fixed annuity locks your rate for the full term, you remain completely insulated from subsequent market declines. For a deeper analysis of macroeconomic trends, explore our comprehensive guide on whether annuity rates rise with interest rates.

Frequently Asked Questions

What is a good fixed annuity rate right now?

A competitive fixed annuity rate in the current market ranges from 6.10% for shorter 3-year terms to 6.40% for longer terms. Determining what constitutes a "good" rate requires evaluating the contract length alongside the financial strength rating of the issuing company. Securing a high yield is most effective when backed by an insurer holding a solid rating from a third party agency.

How often do fixed annuity rates change?

Fixed annuity crediting rates offered on new contracts are highly dynamic and subject to frequent updates—often weekly—to stay aligned with shifting macroeconomic conditions. Insurance carriers continuously monitor the corporate bond market and prevailing U.S. Treasury yields to adjust their pricing. Once you complete your application and fund your annuity, your specific rate is locked and will not fluctuate for the entire duration of your chosen guarantee period.

Are fixed annuity rates better than CD rates?

As of August 2026,  fixed annuity rates are significantly higher than national bank CD averages, with top MYGAs yielding above 6.40% compared to typical CD rates hovering under 2.00%. The choice between them involves weighing the tax-deferred growth and higher yields of an annuity against the short-term liquidity and FDIC insurance provided by bank products. For a complete analysis of these structural differences, look through our dedicated MYGA vs. CDs breakdown page.

What determines the fixed annuity rate I'm offered?

The specific crediting rate you receive is primarily driven by three core factors: the total annuity premium, the term length you select, and any charges for riders you select. Larger premium amounts or longer commitment periods frequently allow insurance carriers to optimize their underlying investments, which can result in more favorable yield structures.. Some insurance companies charge for product features like death benefits and liquidity. Those rider charges lower the crediting rate you will receive.

Should I lock in a fixed annuity rate now, or wait?

Deciding whether to lock in a rate right now should be based on your need for portfolio predictability rather than trying to accurately forecast future Federal Reserve policy movements. Securing a fixed annuity contract guarantees that your interest rate remains unchanged for the full term, regardless of whether external market rates experience movements later on. This structural certainty provides a dependable financial baseline that removes the stress of market timing from your retirement strategy.

Ready to Lock In a Fixed Annuity Rate?

Taking control of your retirement strategy does not require navigating high-pressure sales pitches or absorbing hidden administrative expenses. Canvas Annuity offers a streamlined, direct-to-consumer platform that prioritizes self-service education and a simple purchase process. All products are underwritten and issued by Puritan Life Insurance Company of America, an institution with over 65 years of continuous financial strength and an AM Best rating of B++ (Good).

Every contract includes a 30-day money-back guarantee, allowing you to review your decision with absolute confidence. If you are ready to explore your options or view individualized projections, visit our direct platform to see Canvas Annuity's Current Rates. For more information, review our step-by-step guide on how to buy an annuity.