By December 31 of the year you turn 71, your RRSP must be converted to a RRIF. The mandatory withdrawal rules require careful planning to avoid unnecessary taxes.
Minimum Withdrawal Rates 2026
Key rates: age 71: 5.28%, age 75: 5.82%, age 80: 6.82%, age 85: 8.51%, age 90: 11.92%, age 95+: 20%.
Strategies to Reduce Tax Impact
- Younger spouse's age: Base minimum withdrawals on your younger spouse's age for lower early withdrawals
- Drawdown before 71: Take strategic RRSP withdrawals ages 65–71 if marginal rate will be high in retirement
- TFSA conversion: Withdraw RRIF minimums, pay tax, and reinvest in TFSA for continued tax-free growth
- Pension income splitting: RRIF income (age 65+) qualifies for pension splitting — shift up to 50% to lower-income spouse
OAS Clawback Planning
Large RRIF withdrawals above $93,454 (2025) trigger OAS clawback at 15¢ per dollar. Planning withdrawal amounts to stay below this threshold preserves full OAS benefits.