How to Make $25,000 Generate a Guaranteed Income for Life
- Charles Jorge
- Jun 19
- 2 min read
Retirement planning isn’t getting any easier. Between inflation, market volatility, and economic uncertainty, many Americans worry about outliving their savings. In fact, a recent Allianz Life study found that:
64% fear running out of money before they die
62% aren’t saving as much as they’d like
54% say inflation is worsening the problemThat’s why more people are turning to guaranteed income sources like annuities — financial products that convert a lump sum into steady monthly payments.
With interest rates still elevated, annuity payouts have become more attractive than they’ve been in years.
But is a $25,000 annuity really worth considering?
What Does a $25,000 Annuity Pay?
If you buy an immediate annuity, you can expect monthly payments like these (based on Annuity.org data):
Age | Men | Women |
62 | $104.74 | $92.72 |
67 | $125.95 | $110.75 |
70 | $142.58 | $125.26 |
75 | $180.58 | $157.58 |
Payments depend on factors like age, gender, and annuity type. Women receive lower payments due to longer life expectancy.
Other annuity options — such as deferred, fixed, variable, or indexed annuities — offer different features, risks, and payment schedules.
Riders like inflation protection or spousal benefits can also affect monthly income.
Is It Worth It?
At $100–$180 per month, a $25,000 annuity won’t replace your paycheck — but it can provide reliable supplemental income. That might be enough to cover essentials like utilities, medication, or groceries — and that income is guaranteed for life.
However, annuities aren’t liquid. Once you commit the funds, it’s not easy (or cheap) to get them back. If you're younger or focused on growth, a diversified portfolio may offer more upside.
Bottom Line
A $25,000 annuity won’t redefine your retirement, but it can add security to your income mix. In today’s uncertain financial environment, that kind of predictability matters.
Ready to See If an Annuity Makes Sense for You?
Let’s talk. Irongate Consulting Group has over 30 years of experience helping clients create retirement plans that provide predictable income and peace of mind.
Whether you're exploring your options or need a second opinion on your current strategy, our team is here to help.
Schedule a meeting with one of our consultants here:
