We offer the widest range of life annuities and term certain annuities right across Canada, whether for RRSP or RRIF money or non-registered funds.
Choice of Annuity
Clients can choose from a zero guarantee annuity or up to age 90 and sometimes longer, with or without a guarantee period. In addition, different companies offer variations of refund contracts.
A joint life annuity or a single life annuity normally provides level income but can be altered to provide greater income now but less after the death of a spouse.
Term Certain Annuity
In addition to those choices, those with registered funds can choose annuity payments up to age 90, thus increasing their monthly annuity cheque.
Indexed Income
It is possible to have an annuity, indexed to the cost of living index, or similar. However, doing so reduces the monthly annuity payments the first 10 years, so consideration must be given to your life expectancy.
Taxation and Annuities
If the monies are from a RRSP or RRIF, the payment is taxable.
If the annuity funds are non-registered, only the interest portion is taxable which can be reported on a level or prescribed basis or on a accrued or non prescribed basis.
Most people choose prescribed as the level monthly income allows for better planning.