Amount transferable from an
LIF to an
RRSP or
RRIF
Each year, the holder of a life income fund (LIF) can transfer a specific amount from an
LIF to:
- a registered retirement savings plan (RRSP)
- or
- a registered retirement income fund (RRIF).
The amount transferred must meet the following requirements:
- It must not include the minimum amount that must be withdrawn from the
LIF, since that amount must be taken as a cash payment.
- It must not be calculated according to the
RRSP deduction limit
. - It must not increase the yearly maximum that can be withdrawn from the
LIF.
The maximum amount that the holder can transfer from an
LIF to an
RRSP or
RRIF varies depending on whether he or she has applied for a temporary income from an
LIF. For additional information and examples, consult:
Note that...
- For the transfer of an
LIF to an
RRSP or
RRIF to be tax exempt, all fiscal rules must be followed.
- The Canada Revenue Agency sets the minimum yearly amount to be withdrawn from an
LIF, which corresponds to the
minimum amount to be withdrawn from an
RRIF . The minimum is $0 the year in which the
LIF is opened.
To find out more...