RRIF Calculator — Minimums, Table & the Age-71 Conversion

For current retirees, the minimum is your RRIF balance on January 1 multiplied by a prescribed percentage factor for your age. Below age 71 the factor is 1 ÷ (90 − your age). From 71 onward, CRA sets the factors in a published table: about 5.28% at 71, climbing each year, capped at 20% at age 95 and beyond. See CRA: Prescribed factors.

No. There's no required minimum in the year you open a RRIF, only starting the year after. So if you convert your RRSP to a RRIF in the year you turn 71, your first required minimum withdrawal is in the year you turn 72. You can voluntarily take income in the year of conversion if you want to.

Your financial institution is required to pay you at least the minimum each year, so this generally can't happen by accident — they'll send the minimum even if you didn't request it. If you try to skip it, they'll process the minimum withdrawal anyway because the rule binds the issuer, not just you.

Yes — there's no maximum on a RRIF. You can withdraw as much as you want, in lump sums or monthly. Any amount above the minimum is subject to withholding tax at source (10% on amounts up to $5,000, 20% up to $15,000, and 30% above), credited back at tax time. (A LIF, which holds locked-in pension money, does have a maximum.)

When you set up a RRIF, you can elect to base the minimum on your spouse's age instead of your own. If your spouse is younger, the prescribed factor is lower, so your required minimum is smaller — useful if you want to keep more money tax-sheltered. The election must be made when the RRIF is opened and cannot be changed later, so think it through carefully.

No — the required minimum itself is not subject to withholding tax at source. Anything you take ABOVE the minimum is, at the rates above. The minimum is still fully taxable income that you report on your return; it just isn’t withheld upfront. Many retirees deliberately request voluntary withholding to avoid a surprise tax bill in April. See CRA: Receiving income from a RRIF.

Yes — RRIF payments can be set up monthly, quarterly, semi-annually, or annually. The total over the year still has to be at least the minimum, but the payment schedule is up to you. Monthly is the most common setup; annual single payments are usually only used when the retiree wants the institution's flexibility to invest the full balance for as long as possible.

The deadline is December 31 of the year you turn 71 — not your 72nd birthday or the end of your 71st year of age, but the calendar year-end in which you actually hit 71. By that date your RRSP must be converted to a RRIF, used to buy an annuity, withdrawn in cash, or some combination. See CRA: Options for your RRSPs.

If you take no action, the CRA treats the entire RRSP balance as a withdrawal — fully taxable as income in that one year. For most retirees that's a tax disaster: a six- or seven-figure RRSP becomes a six- or seven-figure tax bill in one shot. Financial institutions usually flag the approaching deadline, but the responsibility is yours, so don't rely on a reminder.

Yes — there's no minimum age to convert. Some retirees convert at 65 specifically to start drawing eligible pension income, which then qualifies for the $2,000 federal pension income tax credit and (with a spouse 65+) for pension income splitting. Partial conversions are allowed too: you can move part of an RRSP to a RRIF and leave the rest until 71.

First, convert to a RRIF — the most common choice. It keeps your investments tax-sheltered, you control how they're invested, and you withdraw at least the minimum each year. Second, buy an annuity — exchange the balance for a guaranteed income stream from an insurance company. Third, withdraw the funds in cash — fully taxable that year, almost never the best choice. You can also combine these (e.g., partial RRIF, partial annuity).

A RRIF keeps your money invested and lets you control withdrawals (subject to the minimum). Returns vary with the market and the balance can outlive you (going to your estate) or run out. An annuity converts the balance into a guaranteed monthly payment for life — you give up the lump sum, but you can't outlive the income. Many retirees use both: a RRIF for flexibility plus a small annuity for guaranteed baseline income.

Yes — you have until December 31 of that year to make your final RRSP contribution, but only if you have unused contribution room. After that year, you can no longer contribute to your own RRSP. (If your spouse is younger than 71 and you have RRSP room, you can still contribute to a spousal RRSP.)

Yes. A RRIF can hold the same investments as an RRSP — stocks, bonds, ETFs, mutual funds, GICs — so converting doesn't force you to sell anything. Your financial institution effectively re-labels the account from RRSP to RRIF, and your investments transfer in kind. You don't pay tax on the conversion itself, only on the withdrawals you take from the new RRIF.

If your spouse is named as the successor annuitant, the RRIF transfers to them intact and they continue receiving payments — no tax triggered. If a non-spouse beneficiary is named, the value is taxable as income on your final return, and the beneficiary receives the after-tax amount. This is why naming a spouse as successor annuitant (rather than just a beneficiary) is one of the most important RRIF setup choices.

The LIF minimum uses the SAME prescribed factors as a RRIF and works identically (you can also elect spouse's age). The difference is that a LIF has a maximum on top of the minimum, set by your provincial or federal pension legislation. This calculator handles RRIF minimums; for the LIF maximum, see your LIF provider or pension regulator — we haven't yet verified those factor tables across all jurisdictions.