Deposits into an annuity are not tax-deductible, however you don't have to pay taxes on the interest earned until you begin making withdrawals. This tax-deferral period can have a dramatic affect on the growth of an investment. Use this calculator to compare the tax advantages of saving in an annuity versus an account where the interest is taxed each year such as a CD.

Savings and Assumptions Initial balance or deposit   Annual savings amount   Annual increase in contributions   Number of years for the analysis   Before tax return on savings: (%) Marginal tax bracket during deposit(s): (%) Marginal tax bracket at withdrawal: (%)