Caisses Desjardins du Québec and Caisses populaires de l'Ontario [Change site]

Select a retirement income option

When you retire, you have to decide how to convert your RRSPs, Locked-In RSPs, Locked-In Retirement Accounts (LIRAs), Tax-Free Savings Accounts (TFSAs) and non-registered savings into retirement income.

The choice isn't always easy. Some people prefer to keep complete control over their investments, while others seek out a steady and secure guaranteed source of income. Compare 3 different strategies.

Registered Retirement Income Fund (RRIF)
Ideal if you want to convert an RRSP into retirement income and have flexible payment options.
  • Main feature: income from tax-sheltered investments
  • Withdrawal: lump-sum withdrawals allowed (subject to the maximum withdrawal amount)
  • Conversion: convert all or a portion of your RRIF into an annuity at any time.
  • Index option: income payment amounts can be adjusted annually

Find out more

See Registered Retirement Income Fund (RRIF).

Life Income Fund (LIF)
Ideal if you want to transfer a LIRA or Locked-In RSP into your retirement income and be able to make withdrawals when needed.
  • Main feature: income from tax-sheltered investments
  • Withdrawal:
    • lump-sum withdrawals allowed (subject to the maximum withdrawal amount)
    • periodic withdrawals allowed (subject to the legal minimum and maximum withdrawal limits)
    • portion of the funds can be freed up for federal and Ontario LIFs (subject to legal conditions and limits)

Find out more

See Life Income Fund (LIF).

Annuities
Ideal if you want guaranteed regular income without having to worry about managing your investments.
  • Main feature: regular income from registered or non-registered savings
  • Interest rate: current rate at the time annuity is taken out
  • Index option: income payment amounts can be adjusted annually

Find out more

See Annuities.

Regular Income Term Savings
Ideal if you want to make your money grow outside a registered plan while being able to make regular withdrawals.
  • Main feature: capital 100% guaranteed
  • Terms: 1 to 5 years
  • Interest rate: 0.40% to 2.10% (fixed, guaranteed until maturity)
  • Withdrawal: one lump-sum amount per year without charge or penalty, under certain conditions

Find out more

See Regular Income Term Savings.

Locked-In Retirement Account (LIRA) and Locked-in RSP
Ideal if you want to transfer funds from an employer-sponsored retirement plan.
  • Main feature: tax-sheltered investment
  • Withdrawal: withdrawals allowed before retirement only under exceptional circumstances

Find out more

See Locked-In Retirement Account (LIRA) and Locked-in RSP.

Lump sum withdrawal or series of withdrawals
Ideal if you wish to withdraw funds from time to time and not on a regular basis.

Find out more

See Lump sum withdrawal or series of withdrawals.