Beneficiary of the RRIF property

Instead of choosing to have the RRIF payments continue to their surviving spouse or common-law partner after death, the RRIF annuitant can designate another individual as the beneficiary of any part of the RRIF property.

Generally, the deceased annuitant is considered to have received, just before death, an amount equal to the fair market value (FMV) of all property of the RRIF at the time of death. This amount has to be included in the deceased annuitant's income. However, this amount may be reduced if it is paid to a qualifying survivor as a designated benefit. It can also be reduced if it is paid to the deceased annuitant's estate, and the deceased annuitant's legal representative and a qualifying survivor elect to treat some or all of it as being paid to the qualifying survivor. Only the spouse or common-law partner or a financially dependent child or grandchild can be a qualifying survivor.