Converting your RRSP into an annuity

You can choose between a life annuity (until death) or a fixed-term annuity (until age 90).

You can add options to a life annuity such as a guaranteed duration of term, continuation upon death and cost of living adjustments. You can also convert only part of your RRSP into a RRIF and part into an annuity. However, people who are eligible for a retirement fund annuity through their employer already get the advantages of a life annuity and should convert their RRSP into a RRIF. This way, they maintain control of the management of their retirement money and can make withdrawals based on their needs, while respecting the minimum.