SPIA Commission: Immediate Annuity Starting Comp and Support
Updated October 2026
Short answer: A single premium immediate annuity (SPIA) turns one premium into guaranteed income that typically begins within a year, paid for life, for a set period, or both. SPIA commission (starting comp) is usually a one-time percentage of premium that varies by payout type, period-certain length and sometimes age or premium size. SPIAs on the grid commonly start between 1.5% and 3.75%.
Our job is to beat your current annuity commission.
Stuck at your current commission level, or simply want higher commission? Our sole purpose is to scale your business by beating your current commission levels. No matter your current commission level, if you meet our minimum requirements (solo producers have none), you automatically get higher commission than where you are today. Starting comp is for every producer, including new producers with no experience — there is no production minimum. If you have strong production to show, we contract you above our starting comp. Established agencies, financial advisors and financial firms, and healthcare agencies can earn much higher too. Submit your application, schedule a Zoom, and we review your current commission levels carrier by carrier and contract you above them — with full back office support, case management, carrier contracting and sales tools included.
How immediate annuities work
The client pays a single premium and the carrier starts a stream of payments, monthly, quarterly or annually, usually within the first year. In exchange, the premium generally stops being an account the client can draw on. The payout option drives everything:
- Life only: the highest lifetime payment for a given premium, ending at death.
- Life with period certain: payments for life, with a minimum number of years guaranteed to a beneficiary.
- Life with cash or installment refund: if the annuitant dies early, the beneficiary receives the part of the premium not yet paid out, as a lump sum or continued payments.
- Joint and survivor: payments continue for the second life, sometimes at a reduced percentage.
- Period certain only: payments for a fixed number of years with no lifetime guarantee.
The payment amount depends on the annuitant's age, sex where permitted, interest rates at purchase, the payout option and each carrier's pricing, which is why quotes can differ meaningfully between carriers on the same day. Most SPIAs are irrevocable once the free-look period ends; some carriers offer limited liquidity features on certain payout options, and terms vary by carrier and state. For non-qualified premium, the IRS General Rule treats part of each payment as a tax-free return of the client's investment in the contract and the rest as taxable.
Which clients immediate annuities fit
- Retirees with an income gap after Social Security and any pension, who want essential expenses covered by guaranteed income.
- Clients worried about outliving their money who value a paycheck over access to principal.
- Clients delaying Social Security, where a period-certain SPIA can bridge the years before claiming. See Social Security timing and annuity income.
- Couples who want income that continues for the surviving spouse.
- Clients with a lump sum, such as a maturing annuity or CD, who want it turned into scheduled payments.
Poor fits: clients who need access to principal, expect large one-time expenses, or have health concerns and would choose life only. Demand is rising. LIMRA reports SPIA sales of $14.4 billion in 2025 and a record $4.1 billion in the second quarter of 2026.
SPIA commission: starting comp on immediate annuities
Examples from the BetterAnnuityComp.com starting-comp grid, showing each product's top starting rate and where it applies:
| Carrier | Product | Top starting comp | Where it applies |
|---|---|---|---|
| Mutual of Omaha | Income Access SPIA | 5% | 1st Yr |
| Integrity Life | Income Source SPIA | 3.75% | Age 18-95 · 10+ Yr Period Certain |
| Royal Neighbors of America | SPIA | 3.75% | Premium $10K-$100K · Age 16-98 |
| Mutual of Omaha | Ultra Income SPIA | 3.25% | Guaranteed Period Only · 15+ Yr |
| Corebridge Financial (American General) | American Pathway Immediate Annuity | 3% | Ages 18-90 · Life Payout Options |
| Lafayette Life | SPIA | 3% | Life Income · Age 0-69 |
| MassMutual | RetireEase SPIA | 3% | Option A · Age 0-75 |
| Ameritas | Compass SPIA Life Contingent | 2.85% | Age 75-79 |
| Ameritas | Compass SPIA Period Certain | 2.05% | 8-13 Yr |
| Assurity | SPIA (5-9 Yr Period Certain) | 1.5% | Yr 1 |
Each rate is starting comp for every producer, with no experience requirement and no production minimum; strong producers are contracted higher, and our job is to beat your current commission. See every product, payout type and age band on the annuity carrier list.
SPIA commission structure
- A flat percentage by payout type. SPIA comp is typically a single percentage of premium paid at issue, with no account value left to pay trails on. The payout option sets the rate: Assurity's SPIA starts at 3.25%, while its 5–9 year period-certain version starts at 1.5%. Ameritas starts at 2.85% on Compass SPIA Life Contingent and 2.05% on Compass SPIA Period Certain.
- Longer guarantee periods pay more. Integrity Life's Income Source SPIA tops out on 10+ year period-certain payouts, and Mutual of Omaha's Ultra Income SPIA on guaranteed periods of 15+ years.
- Age bands don't always step down. Ameritas's life-contingent top rate sits in the 75–79 band, while Lafayette Life's top life-income rate applies at ages 0–69. Check the band before you quote.
- Premium size can matter. Royal Neighbors of America pays its top rate on premiums of $10K to $100K.
- Chargebacks. Review each carrier's chargeback rules before you write, especially on life-only payouts.
How BetterAnnuityComp.com supports SPIA sales
BetterAnnuityComp.com is exclusive to annuity commissions and powered by BetterLifeQuotes.com, an NGA/IMO Hybrid Distribution Organization. SPIA sales are won on the quote, so the toolset starts there.
SPIA comparison software
Quote and compare immediate annuity payouts across carriers side by side, by payout option, so the client sees the best available income.
Income planning tools
A Social Security benefits calculator, plus a retirement-income sales system built around retirees' top concerns with a structured review checklist.
Case management
Pre-submission review to prevent NIGO, best-interest paperwork review, transfer and rollover tracking, and carrier follow-up with status updates through issue.
Back office and contracting
Commission tracking, appointment, license, AML and training-certificate tracking, and one streamlined contracting process across carriers.
Some marketing and practice-building programs are delivered by independent partners and may carry their own fees.
Planning income that starts later instead? Compare deferred income annuities.
Frequently asked questions
Can BetterAnnuityComp.com beat my current annuity commission?
That is our sole job: no matter your current commission level, if you meet our minimum requirements (solo producers have none), you automatically get higher commission than where you are today. Starting comp is for every producer, including new producers with no experience, and there is no production minimum. If you have strong production to show, we contract you above our starting comp, and established agencies, financial advisors and financial firms, and healthcare agencies can earn above it too. Submit your application, schedule a Zoom and share your current commission levels by carrier. We compare them carrier by carrier and contract you above them, with full back office support, case management, carrier contracting and sales tools included.
Can a client cash out a SPIA?
Generally not after the free-look period. A SPIA converts the premium into income, so there's usually no account value to surrender. Some carriers offer limited withdrawal or commutation features on certain payout options, and terms vary by carrier and state.
What happens if the annuitant dies soon after purchase?
It depends on the payout option. Life-only payments stop at death. A period-certain option pays the beneficiary for the rest of the guaranteed period, and a refund option pays out whatever part of the premium hasn't yet been paid.
How are SPIA payments taxed?
For non-qualified premium, IRS rules treat part of each payment as a tax-free return of the client's investment in the contract and the rest as taxable income. Payments funded with pre-tax IRA money are generally fully taxable. Clients should confirm their situation with a tax professional.
Why do short period-certain SPIAs carry lower starting comp?
Comp follows the carrier's economics on each payout option. On the grid, Assurity's SPIA starts at 3.25%, while its 5 to 9 year period-certain version starts at 1.5%. Longer guaranteed periods and life-contingent payouts often start higher.
Sources
- LIMRA — Final U.S. Retail Annuity Sales Set New Sales High, Totaling $464.1 Billion in 2025
- LIMRA — U.S. Annuity Sales Reach $121.2 Billion in the Second Quarter of 2026
- IRS — Publication 939, General Rule for Pensions and Annuities
Quote SPIAs across carriers and write them at a higher commission than you earn today. BetterAnnuityComp.com, powered by BetterLifeQuotes.com, contracts producers with 68 carriers and 345 annuity products, with case management through issue.