Q

At what age can I withdraw from my GRSP?

A

Pretty much as soon as you retire. But you must convert your GRSP to an RRIF by Dec. 21 of your 71st year.

The simple answer you may be seeking? You’re not required to begin withdrawing your RRSP funds until the year you turn 72, although you are required to cease contributions to your GRSP and convert the account into cash, a Registered Retirement Income Fund or an annuity by New Years Eve on the year you turn 71.

The more nuanced answer you may be hanging out for: you can always withdraw money from your GRSP before retirement, but be prepared to be assessed substantial taxes on early withdrawals. There are two cases that the CRA has deemed kosher to withdraw GRSP funds without penalty: if you are a first time homebuyer or plan to buy a home for a disabled relative, or if you want to use the funds to go back to school.

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