Annuity Option For Your RRSP

If you are approaching age 71, you will have until  December 31 of that year to begin withdrawing an income or taking a lump sum from your registered retirement savings plan (RRSP). Cashing out your RRSP as a lump sum is hardly a good option since the amount you cash out is fully taxable to you after you have paid the initial withholding tax which is:  10% on the first $5,000  20% between $5,000-$15,000  30% more than $15,000...