As you approach retirement, you will likely start thinking about how you will receive your income. For many people, this will come from a Registered Retirement Income Fund (RRIF). But how much can you actually withdraw from your RRIF?
The answer depends on a few factors, including your age and the type of RRIF you have. Generally speaking, you can withdraw up to 20% of the value of your RRIF each year. However, if you are younger than 71, you may have to withdraw more.
There are also minimum withdrawal amounts that must be taken out each year, starting at age 72. These minimums are based on your age and the value of your RRIF.
You can use the RRIF calculator on the Government of Canada website to see how much you can withdraw from your RRIF each year.
Keep in mind that the money you withdraw from your RRIF is considered taxable income. So, you may want to speak to a financial advisor to see how much you should withdraw each year to stay within your desired tax bracket.
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