The RRIF is actually the maturing plan of the RRSP. RRIF funds are tax sheltered while they remain in the plan.
The member must withdraw at least the “minimum payment” from the RRIF each year. There are various options available to the member, which should be discussed with a Credit Union representative. You can change the payment plan to accommodate your changing needs, depending on the types of investments you’ve chosen for your RRIF, and the amount of funds remaining in it.
Please note the following changes to RRIFs in 2007:
- RRSP annuitants who attained age 69 in 2006, and transferred the RRSP to a RRIF, will not be required to take an annual minimum payment in 2007 or 2008. Annual minimum must commence in 2009.
- RRSP annuitants who turned age 69 in 2005, and transferred the RRSP to an RRIF, will not be required to take an annual minimum payment in 2007. Annual minimum must commence in 2008.
- RRSP annuitant who attained age 69 in 2007 must convert the RRSP to a RRIF no later than December 31, 2009.
