Q1. What is the 2026 Annuity Payout value?
The 2026 payout value is $80.25.
Q2: How much is my 2026 payout increasing?
A: The payout value of $80.25 is $2.83 (or 3.7%) more than the 2025 payout value of $77.42. This increase includes a 3.0% cost-of-living adjustment ($2.32) and 50% of the excess return ($0.51). See question 10 for the definition of excess returns. MMBB members receive a certain number of annuity units when they convert to an annuity. In 2026, each unit’s value will increase by $2.83 or 3.7%.
Q3. How do I find out how many annuity units I possess?
You can visit the MMBB Member Portal or call MMBB Member Relations at 1 (800) 986-6222.
Q4: How was the 2026 Annuity Payout value determined?
A: The MMBB Board of Managers calculated the annuity payout value based on several factors:
Q5: What factors affect the Annuity Payout?
A:
Q6: What role does investment performance play in the payout?
A: Investment performance is a factor. For the year ending September 30, 2025, the Annuity Fund’s investment performance was 8.1%. However, MMBB assumes a 4% annual return when converting to an annuity. Only returns above this 4% threshold can result in an increase to your payout. The Annuity Fund is impacted by more than investment performance. There are other factors that must be considered as well (see the answer to question 5)
Q7: What is the “advanced earnings assumption”?
A: MMBB assumes the Annuity Fund will earn 4% per year. This “advanced earnings assumption” is factored in when you converted to an annuity. As a result, investment results must exceed 4 percent before any increase is passed on to you.
Q8: How do actuarial adjustments affect the annuity?
A: Actuarial adjustments are made to ensure the fund can meet its obligations. If the actuarial assumptions regarding life expectancies differ from actual experience for the year, or if life expectancy assumptions change, MMBB may adjust payouts accordingly.
Q9: What happens if there are overpayments?
A: Overpayments occur when the payout value exceeds the unique value of the fund. These are usually made to support guarantees and must be accounted for in future calculations, potentially reducing future payouts.
Q10: What is the MMBB Annuity Reserve and how does it impact the payout?
A: The MMBB Annuity Reserve was created in 2015 to address market volatility, mortality adjustments, and to support annuity guarantees. Each year, 50% of excess returns above the 4% assumption and inflation are allocated to the Reserve, while the other 50% go toward increasing the payout value.
Q11: What guarantees protect my annuity payout?
A: MMBB annuities include downside protection. Your payout will not drop more than 5% in the first year of market decline, or more than 10% in the second or subsequent years. This guarantee shields annuitants from sharp decreases the annuity payout value. For example, in the 2008 market downturn, the value of the underlying assets was far less than the payout value in 2009. This also occurred during other periods. Future annuity payments had to be adjusted to account for the series of overpayments that were made.
Q12: Where can I see the historical analysis of payouts?
A: The Annuity Payout Analysis Chart, showing the relationship between payout values and unique values, is available at MMBB.org. Search for “Annuity Payout Chart” to view it. (insert chart from webinar).
Q13: What distinguishes MMBB’s product offerings and services from many other organizations’ financial products?
A: Though the annuity payout increased this year, MMBB understands that financial challenges may remain. We are here to help. MMBB has emergency funds available to assist you if you find yourself making choices about purchasing food, prescription drugs, medical services or necessary home repairs.
In addition, MMBB’s financial planning specialists are available to help members reach their financial goals regardless of their income or the size of their investment portfolio with us. Our staff of experienced CERTIFIED FINANCIAL PLANNER™ professionals are not driven by commissions and do not sell products—we provide personal financial consultations at no additional cost to you as part of your membership. With the CFP® designation comes a fiduciary duty: The CFP® is required to make financial recommendations with their client’s best interests in mind.
View the Annuity Payout webinar for more details
Glossary of Terms
Unit Value: The value of a single unit in the Annuity Fund, used to calculate payouts.
Translations of any materials into languages other than English are intended solely as a convenience to the non-English-reading public. We have attempted to provide an accurate translation of the original material in English, but due to the nuances in translating to a foreign language, slight differences may exist.
Las traducciones de cualquier material a idiomas que no sean el inglés son para la conveniencia de aquellos que no leen inglés. Hemos intentado proporcionar una traducción precisa del material original en inglés, pero debido a las diferencias de la traducción a un idioma extranjero, pueden existir ligeras diferencias.
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