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Email this2:45 pm
November 6, 2018
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In 2019, there was a topic submitted by a forum member about Hubert RIF withdrawals. They had asked Hubert a number of questions which were answered by a Hubert service rep. I was interested to find out if any of those questions would be answered differently now that Hubert has been merged with Access Credit Union (and the fact that I am closer to converting my RSP to a RIF). I emailed Hubert today and was pleased to find out that the answers are the same. Their RIF withdrawals seem quite flexible.
Here are the recent questions and answers for those interested.
Q. What options are available for minimum mandatory withdrawal?
A. You are able to request annual, quarterly, monthly, or even semi-annual payments. The funds would be deposited into one of your Hubert Financial high interest savings accounts.
Q. Where is the RIF annual payment removed from if you have multiple GICs and RIF savings?
A. The minimum payment is taken from the Hubert product earning the lowest interest.
Q. Can you take any extra payments from your RRIF (subject to withholding tax) at any time? Any maximum extra amount? Any Fee for doing so? Can extra RIF amounts be withdrawn even if all RIF funds are held in term deposits?
A. You can take extra payments at any time subject to withholding taxes. There is no maximum. You can take out ALL of your RIF funds all at once if you want and close your RIF contract, not a problem. Hubert Financial does not charge any fees for registered withdrawals. Yes, extra RIF amounts can be withdrawn from term deposits.
Q. Can you request a specified payment over and above the minimum on a regular basis?
A. Yes.
Q. Can you specifically request that a certain percentage (ie 10% or 20%) be withheld at source from the minimum payment?
A. Yes.
4:08 pm
October 13, 2023
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Thanks for that!
Am I reading it correctly that they will take a RIF payment from a GIC (product earning lowest interest) even if it is not mature?
I won't be converting to a RIF for a few years but if I don't have to time maturity dates it might make a difference in my planning.
5:39 pm
November 6, 2018
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Case1030 said
Thanks for that!Am I reading it correctly that they will take a RIF payment from a GIC (product earning lowest interest) even if it is not mature?
I won't be converting to a RIF for a few years but if I don't have to time maturity dates it might make a difference in my planning.
Yes, RIF payments can be taken from non-matured GICs.
12:28 pm
August 17, 2010
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| started a Hubert RRIF in January 2024, I requested lump sum 15,000 to come out per year, and payments monthly to my Hubert account. Its working fine, payments are coming out of my GIC that has lowest interest rate. They withold tax, the payments won't be deposited at beginning or end of month, it has to be days in middle of month.
There was paper work to process to get the rriff started, they did it all and sent it to me docusign. so far so good!
12:43 pm
December 12, 2009
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toto said
| started a Hubert RRIF in January 2024, I requested lump sum 15,000 to come out per year, and payments monthly to my Hubert account. Its working fine, payments are coming out of my GIC that has lowest interest rate. They withold tax, the payments won't be deposited at beginning or end of month, it has to be days in middle of month.
There was paper work to process to get the rriff started, they did it all and sent it to me docusign. so far so good!
Asking for my parents when they start withdrawing from their RRIF, I think annual lump-sum withdrawals make a lot of sense, but just wondering about the withholding tax rate, will it be a higher rate since it's more than $5,000 like with RRSPs or no?
3:08 pm
November 6, 2018
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Doug said
Asking for my parents when they start withdrawing from their RRIF, I think annual lump-sum withdrawals make a lot of sense, but just wondering about the withholding tax rate, will it be a higher rate since it's more than $5,000 like with RRSPs or no?
There is no withholding tax on the minimum amount required to be withdrawn but, for amounts above that, the withholding tax is as follows:
I think some (or maybe all) institutions will implement the withholding tax at the above rates even if multiple smaller amounts are withdrawn based on the total withdrawn within the specific year.
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