Go to www.mackenzieinvestments.com. Click on Tools & Calculators. Then click on RIF/LIF Illustrator. This tool can be used to determine how retirement income will be received from an RRIF, LIF, or LRIF. Under Assumptions, select yes for Deduct Withholding Tax, select your province of residence, and select yes for New Funds After 1992. Input a Current Plan Value of $100 000, a Plan Type of RRIF, an Annual Rate of Return of 5.00%, a Birth Date of 06/21/1949, and an Issue Date and First Payment Date of 07/14/2014. Payment Type should be Minimum and Payment Frequency should be Monthly
a. Click on Next. What is the total amount of payments received from the RRIF? Select Graph. How long do RRIF payments last? What is the plan’s value at age 80 and at age 100?
b. Compare the total payments and graph from the RRIF calculation to those of the LIF and LRIF, respectively.
