LIF Withdrawal Calculator
A Life Income Fund forces an annual withdrawal between a minimum and a maximum. Calculate both bounds for your age and jurisdiction, check whether the amount you plan to take is allowed, and see the income tax you'll owe on it.
LIF Details
Maximum follows the federal/harmonized table.
Annual Minimum
$12,000Same as the RRIF minimum for age 65.
Annual Maximum
$18,082Federal/harmonized factor for age 65.
Your Withdrawal
$20,000Outside the allowed min/max window.
Tax on Your Withdrawal
Have an RRSP/RRIF too?
See your RRIF minimum withdrawals by age →How a LIF works: A Life Income Fund (LIF) holds locked-in pension money and forces a withdrawal each year between a minimum (identical to the RRIF minimum for your age) and a maximum. The maximum stops you from draining the fund too fast so it lasts to age 90. All LIF withdrawals are fully taxable income.
Maximum table: the maximum % is based on 2026 federal factors (the federal/harmonized table); it is reference-rate dependent and reset every January. Confirm the current-year figure with your provincial pension regulator (OSFI for federal plans, FSRA in Ontario). This calculator is for illustrative purposes only — consult a qualified financial advisor for personalised retirement planning advice.
Understanding LIF Withdrawals
A Life Income Fund (LIF) holds money that came out of a registered pension plan. When you leave an employer with a defined-contribution (or commuted defined-benefit) pension, those funds are "locked in" — first in a LIRA (Locked-In Retirement Account), then converted to a LIF when you want income. Locked-in rules exist to make sure pension money actually lasts through retirement.
Minimum = the RRIF minimum: the LIF minimum withdrawal is calculated exactly like a RRIF — your January 1 balance multiplied by the CRA prescribed factor for your age. Under 72 the factor is 1 ÷ (90 − age); from 72 it follows the CRA table and climbs to 20% at age 95 and older. Like a RRIF, the minimum is exempt from withholding tax.
Maximum is the LIF-only twist: unlike a RRIF, a LIF caps how much you can take each year. For federally regulated plans (under the PBSA) and the harmonized provinces — Ontario, Nova Scotia, Newfoundland and Labrador, and British Columbia — the maximum is a percentage factor by age applied to your January 1 balance. The factor is reset every January using a reference rate. For 2026 the federal reference rate is 3.49%, which gives a maximum of about 6.03% at age 65 and rises with age until the balance is fully payable around age 89–90.
Provincial variation: not every province follows the federal table. Alberta, Quebec, Manitoba and Saskatchewan set their maximum with different formulas, and a few allow a higher first-year or temporary-income option. For those jurisdictions this calculator shows an indicative maximum and you should confirm the exact figure with your financial institution or provincial pension regulator.
Unlocking: most jurisdictions let you unlock a portion of a LIF (commonly up to 50%) into a RRSP or RRIF on a one-time basis, or unlock small balances and amounts based on financial hardship, shortened life expectancy or non-residency. Rules differ by jurisdiction. Unlocked money loses the maximum-withdrawal cap but is still fully taxable when withdrawn.
LIF minimum & maximum withdrawal factors by age (2026)
Minimum factors are the CRA RRIF minimums (identical for a LIF); maximum factors are the 2026 federal/harmonized table (Ontario, NS, NL, BC and PBSA plans). Apply the factor to your January 1 balance. Alberta, Quebec, Manitoba and Saskatchewan use different maximum formulas.
| Age (at Jan 1) | Minimum (RRIF/LIF) | Maximum (federal/harmonized) |
|---|---|---|
| 55 | 2.86% | 5.21% |
| 60 | 3.33% | 5.53% |
| 65 | 4.00% | 6.03% |
| 70 | 5.00% | 6.85% |
| 71 | 5.26% | 7.08% |
| 72 | 5.40% | 7.34% |
| 75 | 5.82% | 8.38% |
| 80 | 6.82% | 11.61% |
| 85 | 8.51% | 21.40% |
| 89+ | 10.99% | 100% (fully payable) |
Worked example — $300,000 balance at age 65 (2026)
- Minimum: $300,000 × 4.00% = $12,000 (must withdraw at least this)
- Maximum: $300,000 × 6.03% = $18,082 (federal/harmonized cap)
- You can take any amount between $12,000 and $18,082; all of it is taxable income.
Frequently asked questions
What is a LIF (Life Income Fund)?
A Life Income Fund (LIF) is a registered retirement income account that holds locked-in pension money — typically funds transferred out of an employer pension plan into a LIRA, then converted to a LIF for income. Unlike a RRIF, a LIF has both a minimum and a maximum annual withdrawal. The maximum exists to make the money last to at least age 90.
How is the LIF minimum withdrawal calculated?
The LIF minimum is identical to the RRIF minimum for your age: your LIF balance on January 1 multiplied by the CRA prescribed minimum factor. For ages under 72 the factor is 1 divided by (90 minus your age); from age 72 the CRA publishes a fixed table that rises with age to 20% at age 95 and older.
How is the LIF maximum withdrawal calculated?
For federally regulated (PBSA) LIFs and the harmonized provinces (Ontario, Nova Scotia, Newfoundland and Labrador, British Columbia), the maximum is a percentage factor by age applied to the January 1 balance. The factor is set each year using a reference rate — for 2026 the federal reference rate is 3.49%, giving a maximum of about 6.03% at age 65. Alberta, Quebec, Manitoba and Saskatchewan use different formulas.
Are LIF withdrawals taxable?
Yes. Every dollar withdrawn from a LIF is fully taxable income in the year you receive it and is reported on a T4RIF slip. As with a RRIF, the minimum amount is exempt from withholding tax, but any amount above the minimum (up to the LIF maximum) is subject to withholding tax at source outside Quebec.
Can I unlock part of my LIF?
Most jurisdictions allow a one-time unlock of up to 50% of a federal or Ontario LIF into an RRSP or RRIF, usually at the time you convert (commonly age 55+). On top of that, small balances, shortened life expectancy, financial hardship and non-residency can each unlock additional amounts. The exact rules and percentages vary by pension jurisdiction — confirm with your regulator.
Which provinces don't follow the federal LIF maximum table?
Alberta, Quebec, Manitoba and Saskatchewan set the maximum with different formulas, and several offer a temporary-income or higher first-year option. Ontario, Nova Scotia, Newfoundland and Labrador, British Columbia, and federally regulated (PBSA) plans use the harmonized percentage table shown above. For the non-harmonized provinces this calculator shows an indicative maximum.
Is the LIF maximum prorated in the first year?
Generally yes. In the year you open a LIF (or transfer money in), the maximum is prorated for the number of months remaining in the year, and for many plans the minimum is nil in that first partial year. From the next full calendar year onward, both the minimum and maximum apply to the January 1 balance.
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Last updated May 2026. LIF maximum factors reflect the 2026 federal/harmonized table (reference rate 3.49%); the maximum is reset each January — confirm the current-year figure with your regulator.