What is a Registered Retirement Income Fund (RRIF)?
A RRIF is a cost-effective way of providing yourself with an income when you retire. It's a special account registered with the Government, and designed to provide you with a reliable income once you've stopped working.
The natural home for your RRSP savings
You open a RRIF by transferring your accumulated RRSP savings, and possibly some other forms of registered plans, according to your circumstance. You won't pay any tax on the money held in a RRIF, so long as it stay in. You only pay tax when you withdraw it.
How much can I contribute?
Once you've set up the RRIF, you can't add any more into it, but you can set up another RRIF if you want.
How much can I withdraw?
There's no maximum amount you can withdraw, but there is a minimum you need to take out each year. If you over 65, and you don't have a company pension, you can usually withdraw up to $2,000 per year tax free.
Key features of a RRIF
- Tax-efficient way to fund your retirement
- All savings held in a RRTFF are tax free
- You only pay tax on withdrawals
- Open to anyone with a RRSP until the age of 71
- You can open multiple RRIF accounts
- No maximum withdrawals - take more cash if you need it
- Spouses can inherit your RRIF tax free
Your account, your choice of investments
Your RRIF plan can include a wide variety of investment types, including GICs, segregated funds, bond, stocks and ETFs.
How Jeff can help
Jeff and the team will help you transfer your existing RRSP into a new RRIF. We'll also advise what other investments you might be able to add in too. We'll also take a good look at the balance of investments, stocks, etc, within your RRTF to match your personal requirements and risk tolerance.
Call us for details on 519-485-5801
