Registered Retirement Income Funds (RRIFs)

You’ve saved for your retirement and now you need an income.

RRIFs allow you to draw an income while continuing to grow your savings tax deferred. You only pay tax on the money you withdraw. 

Under the rules governing registered retirement savings plans (RRSPs), you must collapse these plans by the last day of the year in which you turn 69. This means you must convert your savings plan to a vehicle geared to provide income, such as an income plan or a life annuity. Registered retirement income funds (RRIFs) and life annuities are the most common options.
 

• Registered retirement income funds (RRIFs) – a common option for investors converting their RRSP to an income plan.

• Locked-in retirement income funds (LRIFs) – an income option for investors with locked-in savings plans.

• Life income funds (LIFs) – an income option for investors with locked-in pension plans.

• Prescribed retirement income funds (PRIFs) – for funds originating from pension plans in Manitoba or Saskatchewan.

For more information on retirement income plan options and how they might be right for you contact Barrons today.