Access Money From Your LIRA

[vc_row css=”.vc_custom_1612380408194{padding-top: 20px !important;padding-bottom: 20px !important;}”][vc_column][vc_video link=”” css=”.vc_custom_1644258310258{padding-top: 20px !important;padding-bottom: 20px !important;}”][vc_column_text css=”.vc_custom_1644258356979{padding-top: 20px !important;padding-bottom: 20px !important;}”]

What is a Manitoba LIRA?

Locked-in Retirement Account (LIRA) is a type of registered pension plan.

If you worked for a company that had a pension plan and subsequently left that company for any number of reasons, you were likely to transfer your pension into a LIRA.


How do I access the funds in my LIRA?

If you want to access money from your LIRA, your only option before age 55 is to convert your LIRA into a Life Income Fund (LIF).

The LIF, however, does have withdrawal restrictions in place. There is a minimum withdrawal that must occur every year. There is also a maximum withdrawal that cannot be exceeded.

The minimum and maximum withdrawals are based on your age. If you’re interested to know how much you would be able to withdraw, click here.


After age 55

At the age of 55, you do have an additional option. At that point, you can transfer 50% of your LIF into a prescribed RRIF or a PRIF.

With a PRIF, there’s also a minimum amount that you’re forced to withdraw every year, but there is no maximum withdrawal.

In theory, you could take out 50% of your locked-in funds at 55.

The other 50% would remain in a LIF.


New Changes at 65

Recent pension legislation has been updated in Manitoba to provide further withdrawal options at 65. At that point, you can convert the remainder of your LIF into a RRIF.

A RRIF will also have a minimum withdrawal, but no maximum, providing access to all your locked-in funds.[/vc_column_text][/vc_column][/vc_row]

Marc Sabourin is a Winnipeg-based Financial Advisor and Retirement Specialist with Harbourfront Wealth Management. His specialty is working with pre-retirees and retirees who are looking for retirement, investment, & tax advice. 

Disclaimer: The views expressed are those of Marc Sabourin, Certified Financial Planner, and Investment Advisor, and not necessarily those of Harbourfront Wealth Management Inc., a member of the Canadian Investor Protection Fund

20 Retirement Tips

When entering retirement or having recently retired, these 20 tips should be considered. A thorough retirement plan will touch on all 20.

Drastically change the lookout of your retirement

Get your guide below