About
RRIF
The Registered Retirement Income Fund (RRIF) is a tax-efficient way to draw income from your retirement savings. It's a financial vehicle that offers flexibility and control over your retirement funds while ensuring a steady income stream during your retirement years.
Upon retirement, individuals can convert their Registered Retirement Savings Plan (RRSP) into a RRIF, allowing them to systematically withdraw funds as needed. One of its pivotal benefits is the ability to defer taxes on these savings until withdrawal, enabling the money to grow tax-deferred while it remains invested.
RRIFs have mandated minimum annual withdrawal amounts based on age, ensuring a steady stream of income while allowing the remaining funds to continue growing tax-sheltered. The flexibility to choose the frequency and amount of these withdrawals provides retirees with control over their income and tax liabilities.
These plans offer a range of investment options, allowing individuals to tailor their portfolio according to their risk tolerance and financial goals. The diversified investment choices include stocks, bonds, mutual funds, ETFs, and GICs, ensuring a balanced approach to long-term growth and stability.
For retirees seeking a predictable income stream, RRIFs serve as a valuable tool, ensuring a steady flow of funds throughout retirement while allowing the remaining funds to continue growing tax deferred. The flexibility, tax advantages, and income predictability make RRIFs an integral part of retirement planning for many Canadians.
