RRIF, or Registered Retired Income Fund, provides income from your RRSP while sheltering the balance from taxation. However, a RRIF cannot be contributed directly. Funds are transferred from an RRSP, another RRIF, a Registered Pension Plan or a commuted RRSP annuity.

RRIFs are similar to contributing to an RRSP, with the exception that you must take some taxable payments from the RRIF. The payment level can be chosen, as long as the total each year is at least equal to the mandatory minimum amount. There is no maximum payment level.

Life Income Fund (LIF)

A LIF is a flexible plan that allows you to maintain control over your investments while withdrawing funds for your requirements within certain limits.

Certain provinces may have minimum and maximum withdrawal amounts on LIFs.

Be sure to check with G&F for more information.