At 5:50 ish, I think you said the beneficiaries of a RRIF get taxed? Beneficiaries actually do not get taxed on the amount of the RRIF at death. The beneficiary will get taxed on anything over and above the amount that was in the RRIF at the date of death. (I'm not sure what happens if the account drops.)
You should be able to leave your money in your rrsp and withdraw money as you see fit in any particular year rather than having mandated minimum withdrawals whether you need the money or not.That would be a real self directed retirement plan as opposed to what we have now.The withdrawal rates are such that if you reach your 90s your retirement account will realistically be depleted. Imagine being 90 and broke. Govt retirement accounts don’t run out when they reach their 90s do they. The govt should leave your retirement account alone while you are alive since they tax what is left anyway.This is a real issue for people who are approaching very old age.
At 5:50 ish, I think you said the beneficiaries of a RRIF get taxed? Beneficiaries actually do not get taxed on the amount of the RRIF at death. The beneficiary will get taxed on anything over and above the amount that was in the RRIF at the date of death. (I'm not sure what happens if the account drops.)
You should be able to leave your money in your rrsp and withdraw money as you see fit in any particular year rather than having mandated minimum withdrawals whether you need the money or not.That would be a real self directed retirement plan as opposed to what we have now.The withdrawal rates are such that if you reach your 90s your retirement account will realistically be depleted. Imagine being 90 and broke. Govt retirement accounts don’t run out when they reach their 90s do they. The govt should leave your retirement account alone while you are alive since they tax what is left anyway.This is a real issue for people who are approaching very old age.