A financial planner can help you understand the choices for your RRSP and what’s best for you.
A Registered Retirement Income Fund (RRIF) is an extension of your Registered Retirement Savings Plan (RRSP). But instead of contributing to it, you’re withdrawing from it to receive an ongoing flow of income.
An annuity is a contract between you and an insurance company. Annuities provide a guaranteed income stream for life, or a fixed term that you set.
If you cash out your RRSP and take a lump sum, you will be hit with potentially significant tax consequences, since you will be taxed all at once at your current marginal tax rate. Lump sum payments generally make sense only if the RRSP is relatively small.
Managing My Cash Flow in Retirement
Getting More from My RRSP and TFSA
How Can I Be a Smart Investor?