👍 During my retirement planning journey, I have watched hundreds of Canadian retirement content on RUclips. You are the first to answer the simple question: "Are there tax implications when rolling over your RRSP to an RRIF. "No Tax Triggered" at minute 1:42. Thank you!
You should be able to leave your money in your rrsp and not have to convert to a rif and remove money as you see fit rather than being forced to withdraw a minimum amount whether you need it or not.That would be a real self directed retirement plan as opposed to what we have now. You should be lobbying for tuis change. Cheers
Thank you! This is a great explanation. However....given that withdrawals from RRSP and payments from RRIF are treated as income (for the individual), and have same withdrawal tax rules...why move an RRSP account to a RRIF account, before being forced when you're 71? Why not simply withdraw from RRSP account what you need each month or quarter, etc....Is it simply because RRIF provides automatic payment each period, saving you from the hassle of having to 'request' a withdrawal from institution each month (or whatever frequency), and also having to deal with (potential) institution transaction fees? Thanks.
👍 During my retirement planning journey, I have watched hundreds of Canadian retirement content on RUclips. You are the first to answer the simple question: "Are there tax implications when rolling over your RRSP to an RRIF. "No Tax Triggered" at minute 1:42. Thank you!
You should be able to leave your money in your rrsp and not have to convert to a rif and remove money as you see fit rather than being forced to withdraw a minimum amount whether you need it or not.That would be a real self directed retirement plan as opposed to what we have now. You should be lobbying for tuis change. Cheers
Thank you! This is a great explanation. However....given that withdrawals from RRSP and payments from RRIF are treated as income (for the individual), and have same withdrawal tax rules...why move an RRSP account to a RRIF account, before being forced when you're 71? Why not simply withdraw from RRSP account what you need each month or quarter, etc....Is it simply because RRIF provides automatic payment each period, saving you from the hassle of having to 'request' a withdrawal from institution each month (or whatever frequency), and also having to deal with (potential) institution transaction fees? Thanks.
You are correct. The RRIF is simply an adminstrative tool to generated systematic payments from the account.