Registered retirement income fund (RRIF)

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Convert your savings into flexible retirement income

Access your money when you need it, for whatever you need it for in retirement.

Tax-efficient growth

You don’t pay tax on money in your RRIF, as long as it stays there. This includes any growth on your investments inside the RRIF.

Flexible income

There's no maximum withdrawal and you decide when you’ll receive it.

Invest how you like

You can choose to invest your money in mutual funds, segregated funds and more.

What is a RRIF?

It’s like a Registered Retirement Savings Plan (RRSP) in reverse. An RRSP helps you save for retirement through annual contributions. A RRIF does the opposite, requiring you to take minimum annual withdrawals from your savings to help fund your retirement.

How does it work?

  • Convert your RRSP to a RRIF at any time, before Dec. 31 of the year you turn 71.
  • Choose how you’ll invest your money.
  • The government determines the minimum amount you must take out each year.
  • However, you have flexibility on how much you withdraw over the minimum amount and when you’ll receive it.
  • All your RRIF withdrawals are taxable as employment income.
  • Use our handy calculator to see how much income you’ll get from your retirement savings.

When do I need it?

Nearing retirement

The last few years leading up to your retirement are vital for ensuring you are financially ready to retire.

In retirement

Turn your RRSP savings into income to fund your retirement.

Registered retirement income fund (RRIF) or Lifetime income fund (LIF)?

You may have more than one type of retirement savings (i.e., pension plan, RRSP, etc.). Depending on the type, both a RRIF and a life income fund (LIF) can help you turn those savings into income.  

RRIF

LIF 

Both

Converts RRSP savings to retirement income.

Converts pension plan savings into retirement income.

The deadline to convert your savings is Dec. 31 of the year you turn 71.
Minimum annual withdrawals; no maximum.

Minimum and maximum withdrawal amounts.

Choose a variety of investment options including segregated funds, mutual funds and more. These investments are tax-free while in the fund.

You only pay income tax on the money you withdraw each year. 

You may designate your spouse as a beneficiary. The money rolls over tax-free if you die first.

The information provided is based on current laws, regulations and other rules applicable to Canadian residents. It is accurate to the best of our knowledge as of the date of publication. Rules and their interpretation may change, affecting the accuracy of the information. The information provided is general in nature, and should not be relied upon as a substitute for advice in any specific situation. For specific situations, advice should be obtained from the appropriate legal, accounting, tax or other professional advisors.

Talk to an advisor about a retirement income plan

Flexibility brings responsibility

You can take money from your RRIF any time, with no maximum. However, the more income you take out in the short term, the more tax you may pay and the less money you’ll have left in the long term.

Estate planning

You may designate a beneficiary for your RRIF. For a beneficiary other than your spouse, the value of your RRIF will be added to your income for the year of your death and taxed accordingly.

If your spouse is your designated beneficiary, your RRIF’s lump sum value is passed to your spouse and remains tax-deferred. It may be reinvested in an RRSP (if your spouse is under age 69), annuity or a RRIF.

Prescribed registered retirement income fund (PRRIF)

If you live in Manitoba or Saskatchewan, you can use a PRRIF to access even greater flexibility in managing your retirement savings. Contact an advisor for more details.