Benefits of a RRIF

Change up the investments you hold at any time, with the expert advice of an RBC advisor.

  • Defer Tax on Investment Income

    Similar to an RRSP, your money continues to grow tax-sheltered in a RRIF.

  • Control Your Income

    Decide when and how much to withdraw as long as you take the required minimum amount.

  • Transfer Assets Tax-Free

    When you pass away, your RRIF assets can transfer to your spouse on a tax-free basis.

How a RRIF Works

  1. Convert your RRSP to a RRIF by the end of the year you turn 71—or sooner if you need the income. Your investments transfer directly and do not have to mature or be liquidated.
  2. Start taking withdrawals the year after you open your RRIF. This can be any amount, as long as you meet the minimum annual withdrawal as set out by federal regulations.
  3. Report withdrawals as income on your tax returns. RRIF funds are taxable in the year you withdraw them.

An RBC advisor can help you create a plan to minimize taxes and lower the chances of certain government benefits, such as Old Age Security (OAS), being reduced.

How to Get the Most from Your Retirement Income

"Taking money from your assets in the right order is key.”

- Sandra, Investment Specialist

What Else Should I Know?

RRIF Rules and Withdrawals

RRIF Calculator

Looking for more? Get the RRIF Factsheet

RRIF FAQs

Explore top RRIF questions.

In the year you turn 71, you must convert your RRSP to an income option such as a RRIF or an annuity. You can also cash out your RRSP; however, this is not typically recommended as the entire amount will be considered taxable income in the year you withdraw it and these funds will no longer benefit from tax-sheltered investment growth.

Converting all your RRSPs into one RRIF will make it easier to manage and keep track of your minimum annual withdrawals; however, you can choose to hold separate RRIFs.

An RBC RRIF can hold a variety of investments, including Guaranteed Investment Certificates (GICs), mutual funds, portfolio solutions and savings deposits. You can also hold stocks and bonds through RBC Direct Investing™ and RBC Dominion Securities. An RBC advisor can help you determine which investments will best serve your needs.

You can select to receive your RRIF payments on a schedule that works for you. Choose from monthly, quarterly, semi-annual or annual RRIF withdrawals.

Ready to Invest?

Open a RRIF and start enjoying your hard-earned savings!