It is mandatory that you convert all your RRSPs by December 31st in the year you turn 71. The latest you are allowed to take your first payment is December 31st in the year you turn 72, however, the payment must be at least the full annual minimum* amount.
Tax law stipulates that a minimum payment must be withdrawn from your RRIF each year and reported as income. *This minimum annual payment is taken from a schedule that is based on your age or the age of your spouse if younger.
For more information, including the factors used, please consult the following link to Canada Revenue Agency's website: http://www.cra-arc.gc.ca/E/pub/tp/ic78-18r6/ic78-18r6-e.txt Use this calculator to find out how much you may withdraw from your RRIF each year.
The calculators contained on this site is provided for illustrative purposes only and is only intended to assist you in understanding how certain investment strategies may impact your investments over a specific period of time. Dynamic Funds does not warrant or make any representations regarding the use or the results of the Calculator in terms of its correctness, accuracy, timeliness, reliability, or otherwise. Information herein is subject to change without notice and Dynamic Funds is not responsible to update this information, nor does it accept any responsibility for any loss or damage that results from the use of the results of the Calculator. Projections made using the Calculator are not intended to be a substitute for professional advice and, because each person's situation differs, we recommend that you consult a professional investment advisor to ensure you are using the information on this site to your best advantage.