Governments don’t seem to understand DC pension plans

Rick has $600,000 in assets in a RRIF. Larry has the same amount in a LIF, which limits how much can be withdrawn annually. The RRIF allows Rick to withdraw more each year and defer his CPP and OAS payments. As a result Rick can draw about $6,000 more income than Larry every year in retirement.

THE GLOBE AND MAIL Source: Author’s calculations, using the PERC retirement calculator