What is a LIF?

A Life Income Fund (LIF), is a type of registered retirement income fund (RRIF) that is designed to provide retirees with a regular stream of income during retirement.  It is typically used to manage the retirement savings accumulated in a locked-in retirement account (LIRA) or a locked-in RRSP (LRSP), which are both types of retirement savings plans that are subject to specific government regulations and restrictions.  Like a RRIF, a LIF requires the account holder to make minimum annual withdrawals based on their age and the value of the account.