MYAnnuity 5X (0% Free Withdrawals) review

It depends, and the deciding factor is narrower here than on most MYGAs. If you are certain you will not need any access to this premium — not 5%, not 10% — for the full five years, this is a reasonable way to lock in a slightly better rate than the standard version of the same contract. If there is any realistic chance you would want a partial withdrawal, even a modest one, the 10%-election share class of MYAnnuity 5X gives up only 0.20% in rate for a meaningful annual liquidity cushion, which is almost always the better trade.

The rational buyer here already owns other liquid assets and is using this contract purely as a rate-locked, tax-deferred parking spot for money they have no intention of touching. They are choosing the 0% election specifically because they have compared it to the 10% share class and concluded the flexibility isn't worth anything to them personally — in which case there is no reason to leave the extra 20 basis points on the table. It is a decision for buyers who think in terms of net yield first and optionality second.

This fits retirees or near-retirees with a clearly segmented "do not touch" bucket of non-qualified or qualified money, generally with other accounts available for emergencies. It is a poor fit for anyone who is not fully certain about their liquidity needs over the next five years, anyone who might want to reposition funds if rates move, or anyone using this as their only source of accessible savings. Qualified-money buyers taking RMDs get a partial carve-out (see below), which softens the restriction somewhat for that group specifically.

Strip away the brochure framing and this is a 5-year CD-like contract with one knob: you traded away the standard annual withdrawal privilege for a marginally better guaranteed rate. There's no crediting complexity, no index participation, no rider math to untangle — the entire product is "how much rate did I get for how much liquidity did I give up." Nassau prices that trade at roughly 20 basis points across its 5X lineup, which tells you the carrier itself doesn't consider full illiquidity worth much more than that.

MYAnnuity 5X credits a single declared fixed rate for the entire 5-year guarantee period — no index-linking, no annual resets. Under the 0% free-withdrawal election, Nassau's rate sheet effective January 17, 2026 shows 5.40% guaranteed for the full term, compared to 5.20% for the 10%-election share class of the same product. Separately, Wink's product-profile data (as of February 1, 2026) lists a current fixed rate of 5.25% for this product — a reminder that these are point-in-time snapshots from different data sources and dates, not a fixed number that will still be accurate when you shop. Confirm the live rate directly with Nassau or your agent before applying. At the end of the 5-year term, the contract typically renews into a new declared rate unless you annuitize, surrender, or exchange it, and the minimum interest rate for any future renewal period is set at issue (a range of 1%-3% per the source materials).

The 0% free-withdrawal election is the actual product here, not an afterthought. Where most MYGAs let you pull 10% of account value annually without penalty, this share class removes that entirely — with one narrow exception: after the contract has been in force past its first calendar year, one RMD withdrawal per contract year is treated as free of surrender charge and MVA, even though the elected free-withdrawal amount is otherwise 0%. Any additional withdrawal in that same contract year, including a second RMD-related distribution, is not protected and will be subject to full surrender charges and MVA. That makes this product workable for IRA money subject to required distributions, but it offers essentially nothing for non-qualified money or for anyone who might want a one-time discretionary withdrawal.

This is the central tradeoff of the entire contract, so it's worth being blunt about it: outside of the single-RMD carve-out described above, there is no free withdrawal privilege during the 5-year surrender period. Any withdrawal is subject to both a surrender charge on the declining 9% / 8% / 7% / 6% / 5% schedule and a market value adjustment (MVA), which can move the penalty up or down depending on how interest rates have moved since issue — an MVA is not capped at zero, so it can add to the cost of an early withdrawal, not just reduce it.

Surrender charges and MVA are waived in a handful of specific circumstances: on death, on annuitization after the first contract year, during a 30-day window at the end of the guarantee period (a natural point to move the money without penalty), and under nursing-home or terminal-illness waivers (nursing home available at issue ages 80 and below, and not offered in Florida). Outside of those triggers and the one-RMD-per-year exception, you should treat this premium as fully committed for five years. If there's any meaningful chance that isn't true for you, the 10%-election share class of the same product is available at a 0.20% lower rate and is very likely the better fit.

There is no explicit rider fee here because there is no rider — no income benefit, no chronic-illness enhancement, nothing layered on top of the base contract. The real "cost" of this product isn't a stated fee; it's the opportunity cost of forfeiting the standard 10% annual withdrawal privilege in exchange for roughly 20 basis points of additional guaranteed rate. Whether that trade is worth it comes down entirely to how confident you are that you will not need this money before the contract matures — for anyone with even modest doubt, the math tilts toward the 10%-liquidity share class instead.

Legal Entity: Nassau Life and Annuity Company

Parent: Nassau Financial Group

A.M. Best Rating: B++