How do you withdraw your RRSP assets at maturity?
An individual can withdraw any portion or all of their savings out of their RRSP account at anytime. Any amount withdrawn from an RRSP will require the administering financial institution to deduct withholding tax and the total withdrawal will be included in the individual’s taxable income.
The resulting increase in the individual’s taxable income may also negatively impact any number of existing benefits, such as Old Age Security and Guaranteed Income Supplement payments, GST refunds, Pharmaceutical and medical subsidies and any subsidies for government provided residential care services. Normally, withdrawing one’s RRSP savings is not a practical maturity option for most individuals.
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