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Deferred Annuity Payment Calculator

This calculator helps determine the fixed payment amount for a deferred annuity—where payments start after a set delay. It’s useful for retirement planning, investment evaluation, and understanding how time affects annuity values.

Calculate Deferred Annuity Payments with Interest

Input Fields
P
$
Present value of the deferred annuity
r
%
Annual interest rate used for discounting
n
Total number of annuity payments
d
How many years until the annuity payments begin
If enabled, the result will update automatically when you change any value.

Deferred Annuity Payment Formula

Formula
$$PMT = \frac{P}{\left(1 – \frac{1}{(1 + r)^n}\right)} \div (1 + r)^d$$

Where:

  • PMT – periodic payment
  • P – present value of the annuity
  • r – interest rate per period (decimal)
  • n – number of payment periods
  • d – number of deferred periods before payments begin

This formula adjusts the annuity payment by discounting it over the deferral period.


A deferred annuity delays income payouts, allowing interest to accrue before distributions begin. This calculator is ideal for estimating retirement income or investment returns when payouts start after several years. The formula accounts for both the length of the annuity and the time value lost during the deferral phase.

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