RRSP at
Retirement
See how much your RRSP will grow by retirement, estimated monthly RRIF income, and how taxes affect your withdrawals.
Your RRSP details
Your retirement outlook
Results are estimates for informational purposes only — not financial advice. Always consult a licensed professional before making decisions. Terms of use →
RRSP retirement FAQs
Key rules for RRSP and RRIF in Canada.
When must I convert my RRSP to a RRIF?
You must convert your RRSP to a Registered Retirement Income Fund (RRIF) or an annuity by December 31 of the year you turn 71. You can convert earlier if you wish. Once converted, you must withdraw a minimum percentage of the RRIF each year (starting at ~5.28% at age 71, increasing each year).
How much is the 2026 RRSP contribution limit?
The 2026 RRSP limit is 18% of your 2025 earned income, up to a maximum of $32,490. If you participate in an employer pension plan, your limit is reduced by a pension adjustment. Check your CRA MyAccount or your Notice of Assessment for your exact available room.
Are RRIF withdrawals taxable?
Yes — all RRIF withdrawals are fully taxable as income in the year received. This is why tax planning matters: drawing down your RRSP/RRIF gradually in lower-income years (e.g., after retirement but before CPP/OAS at 65) can reduce the total tax paid. The first $2,000 of pension income each year qualifies for the pension income tax credit.
What's the difference between RRSP and TFSA for retirement?
RRSP contributions are tax-deductible (reducing income now) and taxed on withdrawal. TFSA contributions are after-tax but withdrawals are completely tax-free. For retirement, RRSPs are better if you expect to be in a lower tax bracket in retirement; TFSAs are better if you expect the same or higher bracket, or need tax-free flexibility. Most Canadians benefit from using both.
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View all tools →RRSP retirement planning strategies
Getting the most from your RRSP takes planning — not just contributing.
RRSP works best when your marginal tax rate today is higher than in retirement. If you're currently in a 43% bracket but expect 25% in retirement, every $10,000 you contribute saves $4,300 now and costs only $2,500 later — a $1,800 net gain per $10,000 contributed.
You must convert your RRSP to a RRIF by December 31 of the year you turn 71. RRIF minimum withdrawals start at ~5.28% at age 71 and increase each year. Smart retirees draw down gradually before 71 — especially during early retirement years with lower income — to reduce future tax burdens.
Contributing to a Spousal RRSP lets the higher earner take the tax deduction while the lower earner eventually withdraws at their lower rate. After a 3-year attribution period, withdrawals are taxed in the spouse's hands — potentially saving thousands in retirement.
Withdrawing from your RRSP early triggers withholding tax (10–30%) and the amount is added to your taxable income for the year. Worse, you permanently lose that contribution room — it doesn't come back. Only withdraw early as a genuine last resort, or for the FHSA/HBP programs.