Plan for the Life of Your Retirement

Secure Your Retirement

A State Farm® Annuity is a great way to grow your money now and ensure a steady flow of income in the future.

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Annuity Basics

How Deferred Annuities Work

Accumulation Phase

During this phase, the customer pays either a lump sum or makes periodic payments to the insurance company. These payments accumulate at interest over a period of time, similar to a savings account. However, unlike most other savings vehicles, interest is earned on a federally income tax-deferred basis. This tax advantage is one reason annuities have become important retirement planning tools (Although income tax-deferred, taxes will become due when funds are withdrawn).

Distribution Phase (Income Payout)

Income payments can be made monthly, quarterly, semi-annually, or annually. The amount of these income payments is based upon the accumulation value when payments begin, the age and gender of the annuitant,* and the income option selected. If the annuitant selects one of the life income payout options, guaranteed payments will continue for the rest of his or her life.

* Unisex rating applies to certain tax-qualified plans and policies issued in Montana.

Sounds simple, right? And yet there's a lot of confusion and misinformation out there when it comes to annuities. At State Farm we're committed to providing you with the answers you need to make confident, well-informed choices when it comes to your future.

Learn More About Annuities

Our Annuities at a Glance

State Farm offers several types of annuities. Learn more about which one best fits your personal retirement program.

Future Wealth Builder1 Future Income Plus Guaranteed Income
Life stage Several years from retirement and you want to save for the future Closer to retirement with a sizable amount already saved About to retire or already retired and you want a steady, guaranteed income right away
Premium mode A lump-sum payment or periodic payments A lump-sum payment A lump-sum payment
Minimum initial premium amount Age 0-65: $10,000
Age 66-90: $25,000
Age 0-99: $25,000 Age 21-90: $25,000
Interest rate guarantee period 1 year and can adjust annually Interest rate guarantee periods can vary based on new or renewal business and by state. Contact your State Farm agent for specifics. N/A
Guaranteed minimum interest rate At least 1% for duration of policy At least 1% for duration of policy N/A


This is a general description of coverage. A complete statement of coverage is found only in the policy. For more details on coverage, costs, restrictions, and renewability or to apply for coverage, contact your local State Farm agent.

Insurance policies and/or associated riders and features may not be available in all states, and policy terms and conditions may vary by state.

1 This product is currently not available.

Not FDIC Insured

  • No Bank Guarantee
  • May Lose Value

Issued by:
State Farm Life Insurance Company (Not licensed in MA, NY, or WI)
State Farm Life and Accident Assurance Company (Licensed in NY and WI)
Bloomington, IL