Only life insurance companies offer life annuities, although they can be arranged through most insurance agencies. You may often select more than one of the options to create your retirement income package. With a RRIF you can choose your own investments and change your payment amount from time to time. Your funds may or may not last for life, depending on the payment amounts you choose. You can have your RRIF funds fully covered by deposit insurance.
Life annuities provide an income for life and require no ongoing decisions.
In comparison to a life annuity, the TCA 90 usually provides slightly lower payments in exchange for a long guaranteed period. Some TCA 90s are also covered by deposit insurance. The above deduction limit can be contributed to your own RRSP, or to an RRSP for your spouse 2. It includes RRSP contributions made on your behalf by an employer 3.