A Registered Retirement Income Fund, or RRIF, is a prescribed pay-out vehicle for RRSP assets. Like an annuity, the lump sum rollover to the pay-out vehicle is tax-free and only the payments you actually receive are added to your taxable income.

It allows for regular payments to be made to you until the funds are exhausted or applied to buy an annuity. The rules for RRIFs require that you withdraw a minimum amount of your money each year.

• Flexibility to alter your income stream (i.e. increase or decrease the amount of your period payments or make unscheduled withdrawals)
• Assets continue to be invested according to your instructions and can be exposed to market fluctuations
• Flexibility to move your assets between different investment options
• In the event of your death, payments can continue to your spouse or the value may be paid to your beneficiary
• You can outlive your income