Eligible for CDIC coverage

Among the highest RIF rates available in Canada

Our rates are among the best around, so you can enjoy the combination of guaranteed principal and the opportunity to securely build your savings over time.

What is a RIF?

The Canada Revenue Agency (CRA) requires you to convert your RSP to a retirement income option by December 31 of the year you turn 71. This can either be done with an annuity or a Retirement Income Fund (RIF).

With a RIF, your income options are flexible. You can withdraw more than the minimum amount set by the CRA – so you’re in control of your retirement income. Plus, your money will continue to grow tax-deferred, meaning it keeps working for you.

Minimum income payments

You don’t contribute to a RIF – rather, you take minimum payments out every year. The amount of those payments is determined by CRA. You can withdraw more than your minimum amount subject to any tax implications.* You have the option to receive your payments according to your schedule – annually, semi-annually, quarterly or monthly.

Any retirement income – whether it’s from a RIF or an annuity – is considered taxable in the year it is withdrawn, so keep in mind it will be added to your other sources of income at tax time. RIF payments are also subject to a withholding tax, the amount of which varies depending on how much you withdraw and where you live.*

*To learn more refer to the Canada Revenue Agency website

A RIF from Oaken

With a RIF from Oaken, the funds you transfer from your RSP can continue to earn tax-deferred income, giving your savings the opportunity to keep growing. Plus, you benefit from the security provided by the guaranteed principal and interest features of our GICs that are eligible for the Canada Deposit Insurance Corporation (CDIC) coverage, up to applicable limits.

Make the most of your retirement income with proven investment strategies

Creating a seamless income stream in retirement is something that many Canadians find challenging. One strategy to consider is to open multiple GICs across several terms – this way, your investments mature at different times, giving you access to funds over time instead of all at once. Learn more about GIC laddering here

Protect your investment

All Oaken GICs are eligible for the Canada Deposit Insurance Corporation (CDIC) coverage through either Home Bank or Home Trust Company, up to applicable limits, so your savings are protected and your money will be there when you need it.

Fulfilling your RIF minimum payment requirement

RIF minimum payments are withdrawn from the funds available within the GIC(s). If there are multiple GICs within your plan, funds will be withdrawn in the following order:

1. The GIC with the lowest interest rate.
2. If the interest rate is the same between 2 or more GICs, funds will be withdrawn first from the GIC with the shortest term.
3. If the interest rate is the same between 2 or more GICs, and 2 or more GICs also have the same term, funds will be withdrawn first from the GIC with the earliest investment.

Current minimal withdrawal percentages

The table below lists the annual minimum withdrawal percentages as they stand today.