Income plans

You've saved for your retirement and now you need an income.

Under the current rules governing registered retirement savings plans (RRSPs), you must collapse these plans by the last day of the year in which you turn 71. This means you must convert your savings plan to a vehicle geared to provide income, such as an income plan or a life annuity. We offer many types of income options, depending on the type of registered plan you have used to accumulate your retirement savings:

Registered Retirement Income Funds (RRIF) - A common option for investors converting their RRSP to an income plan. They allow you to draw an income while growing your savings tax-deferred. You only pay tax on the money you take out.

Life Income Funds (LIF) – Income options for investors with lock-in pension plans

Locked-in Retirement Income Funds (LRIF) – Income options for investors with locked-in savings plan

Payout Annuities – Payout annuities can provide guaranteed payments to meet your fixed-income needs. A payout annuity provides you with a regular income payment for a fixed period or the rest of your life. We offer a wide range of payout annuity types including:

  • Single life annuity – provides a level or indexed amount of income for as long as you live.
  • Joint and survivor life annuity – provides a level or indexed amount of income for as long as you or your co-annuitant are living; when one co-annuitant dies, the survivor continues receiving the same income or a reduced income by a given percentage, as chosen at the time of purchase.
  • Term certain annuity – guarantees payments for a fixed period of time as chosen at the time of purchase.