📚 Account Guide
RRIF — Registered Retirement Income Fund
The RRIF is the natural successor to the RRSP. You must convert by age 71 and begin drawing down your retirement savings — here's exactly how it works.
• Updated May 2026• 🇨🇦 Canada only• 7 min read
Last updated May 2026
Key Takeaways
- ✓Must convert RRSP → RRIF by Dec 31 of age-71 year
- ✓Minimum withdrawal at 71: 5.28% of Jan 1 balance
- ✓Withdrawal rate increases with age — 20% at 95
- ✓All withdrawals are taxable income in that year
- ✓No new contributions allowed — draw-down only
- ✓Use spouse's younger age to reduce mandatory withdrawals
- ✓Eligible for pension income tax credit ($2,000) at age 65+
- ✓Name a spouse as beneficiary for tax-free rollover on death
Age 71
Conversion deadline
Dec 31 of that year
5.28%
Min. withdrawal at 71
of RRIF balance
None
Contributions allowed
Draw-down only
RRSP → RRIF: How the Conversion Works
When you convert your RRSP to a RRIF, nothing actually changes about your investments — the account type simply changes. Your ETFs, stocks, and bonds stay exactly where they are. The difference is that you can no longer contribute, and you must withdraw a minimum amount each year starting the year after conversion.
The minimum withdrawal is a percentage of your RRIF balance on January 1 each year, and that percentage increases with age (see table below). You can always withdraw more than the minimum — but not less.
Tax tip: RRIF withdrawals are taxable income. If your withdrawals push you into OAS clawback territory (income over ~$90,000 in 2026), consider converting earlier and withdrawing gradually at a lower tax rate before OAS begins.
Mandatory Minimum Withdrawal Rates (2026)
Calculated on January 1 RRIF balance each year.
Age 65
4.00%
Age 66
4.17%
Age 67
4.35%
Age 68
4.55%
Age 69
4.76%
Age 70
5.00%
Age 71
5.28%
Age 72
5.40%
Age 73
5.53%
Age 74
5.67%
Age 75
5.82%
Age 76
5.98%
Age 77
6.17%
Age 78
6.36%
Age 79
6.58%
Age 80
6.82%
Age 85
8.51%
Age 90
11.92%
Age 95
20.00%
Rates shown are selected ages. The full CRA table covers every age from 65–95+. Source: CRA 2026.
Smart RRIF Strategies
👫
Use your spouse's age
If your spouse is younger, elect to base withdrawals on their age. Lower rates mean less mandatory withdrawal and more time for tax-sheltered growth.
📅
Convert early if in a low-income year
You can convert RRSP → RRIF any time before 71. If you retire early with low income, drawing down before CPP/OAS starts may reduce lifetime tax.
💳
Use TFSA as a top-up buffer
Withdraw RRIF minimums, then transfer surplus into your TFSA (if you have room). Future growth and withdrawals from the TFSA are completely tax-free.
📊
Keep equities in the RRIF longer
Since RRIF balances are fully taxed on death, higher-growth assets inside the RRIF mean more compounding before the tax hit. Hold bonds in taxable accounts if possible.
Frequently Asked Questions
When must I convert my RRSP to a RRIF?▾
You must convert your RRSP to a RRIF (or annuity) by December 31 of the year you turn 71. You can convert earlier if you choose — for example, to start receiving retirement income before 71.
Can I still contribute to a RRIF?▾
No — you cannot make new contributions to a RRIF. Your RRSP is converted to a RRIF and then you draw it down. If you still have earned income under 71, you can contribute to a spousal RRSP instead.
Are RRIF withdrawals taxable?▾
Yes — every dollar withdrawn from a RRIF is added to your taxable income for that year, just like RRSP withdrawals. Your financial institution will withhold tax at source (unless you withdraw only the minimum amount, which has no withholding tax), and you'll report the full amount on your tax return.
What happens if I take out more than the minimum?▾
You can withdraw any amount above the minimum at any time. Additional withdrawals above the minimum are subject to withholding tax (10–30% depending on amount). All withdrawals are included in your taxable income for the year.
Can I use my younger spouse's age for RRIF withdrawals?▾
Yes — and this is a smart tax strategy. You can elect to base your minimum RRIF withdrawals on your younger spouse's age. Since younger ages have lower mandatory withdrawal rates, this lets you defer more of your RRIF and keep more money growing tax-sheltered.
What investments can I hold in a RRIF?▾
A RRIF can hold the same investments as an RRSP: stocks, ETFs, bonds, GICs, mutual funds, and cash. You don't have to change your investment holdings when converting — the RRSP simply becomes a RRIF with the same portfolio.
What is the pension income tax credit and how does it apply to a RRIF?▾
Once you're 65 or older, RRIF income qualifies for the federal pension income tax credit — a 15% non-refundable credit on up to $2,000 of eligible pension income per year. To claim it, you need to receive at least $2,000 in RRIF income annually. This is another reason some Canadians convert their RRSP to a RRIF before they turn 71 — to start qualifying for this credit earlier.
What happens to a RRIF when you die?▾
If you have a named spouse or common-law partner as beneficiary, your RRIF can roll over to their RRIF tax-free on death. If the beneficiary is a financially dependent child or grandchild, different rules apply. If there is no eligible rollover, the full RRIF value is included in your taxable income in the year of death — potentially a large one-time tax bill. Naming a spouse as beneficiary is critical estate planning.
Can I have multiple RRIFs?▾
Yes — you can hold multiple RRIFs at different institutions simultaneously, just as you can have multiple RRSPs. Your total minimum withdrawal is calculated on each RRIF's balance independently, but you can choose to take all the required minimum from just one RRIF if you prefer to consolidate withdrawals for simplicity.
Is a RRIF withdrawal subject to OAS clawback?▾
Yes. RRIF withdrawals are reported as income on your tax return and count toward the OAS clawback threshold (currently about $90,997 in 2026). If your total income exceeds this amount, OAS is clawed back at 15 cents per dollar above the threshold. This is why early RRSP drawdown before OAS begins at 65–70 can be a smart strategy — level out income over more years rather than having large mandatory RRIF withdrawals pile on top of CPP and OAS.
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