RRIF (Registered Retirement Income Fund)

What Is a Registered Retirement Income Fund?

A Registered Retirement Income Fund (RRIF) is a government-registered account that’s used to convert your RRSP savings into income during retirement. You must start withdrawing a minimum amount each year, and those withdrawals are taxable.

Think of it as the next step after an RRSP—you can’t contribute to a RRIF, but your investments can keep growing while you withdraw funds gradually.

When Do You Convert an RRSP to a RRIF?

You must convert your RRSP to a RRIF by December 31 of the year you turn 71, but you can do it earlier if you choose. Once converted, the RRIF starts generating mandatory minimum withdrawals the following year.

Key Features of a RRIF

• Tax-Sheltered Growth: Investments inside a RRIF continue to grow tax-deferred.
• Mandatory Withdrawals: You must withdraw a minimum amount each year (based on your age).
• Withdrawals Are Taxable: Funds are taxed as income in the year you receive them.
• No Contributions: You cannot add new money to a RRIF—only transfer from an RRSP or similar account.
  
  

Minimum Withdrawal Rates (Starting at Age 71)

71 - Minimum Withdrawal 5.28%

75 - Minimum Withdrawal 5.82%

80 - Minimum Withdrawal 6.82%

85 - Minimum Withdrawal 8.51%

90 - Minimum Withdrawal 11.92%

You can choose to use the age of your younger spouse to lower the required withdrawals.

How Do RRIF Withdrawals Work?

• You can withdraw more than the minimum, but never less.
• Withdrawals are fully taxable as regular income.
• There’s no withholding tax on minimum withdrawals—but additional tax applies to amounts above that.
• Payments can be monthly, quarterly, or annually.
  
  

What Can You Hold in a RRIF?

The same investments as in an RRSP:

• Stocks & ETFs
• Mutual funds
• Bonds & GICs
• Cash

Your investments can continue to grow tax-deferred inside the RRIF until withdrawn.

Key Takeaways

• A RRIF lets you turn your RRSP savings into income in retirement.
• You must begin withdrawing funds the year after opening a RRIF.
• Withdrawals are taxable, but investments continue to grow tax-sheltered.
• Using a younger spouse’s age can reduce required minimums and preserve capital.

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