When you leave a job, or cancel membership in a pension plan, you will need to decide what to do with pensions funds that remain locked-in to your pension account. Since funds in the account are intended to provide you with a lifetime income stream, the Pension Benefits Act imposes restrictions on those funds, as outlined in the links below.
Learn more about:
- L200-201 - Locked-In Retirement Accounts (LIRAs) [PDF]
- L200-303 - Schedule 1.1 Life Income Funds (New LIFS) [PDF]
- L200-305 - Schedule 1 Life Income Funds (Old LIFS) [PDF]
- L200-501 - Locked-In Retirement Income Funds (LRIFs) [PDF]
- Locked-in Accounts - Maximum Annual Income Payment Amount Table
- Questions and Answers on Rules For Ontario Locked-In Accounts - O. Reg. 416/07
- Changes to the Rules for Ontario Locked-In Accounts - O. Reg. 239/09
- September 5, 2007:Letter to Financial Institutions offering Locked-In Accounts and their Associations
- Pension Unlocking: Non-Hardship
How to unlock a “locked-in account”
Under certain circumstances resulting in financial hardship, funds in a locked-in account may be accessible. Withdrawals, if permitted, are restricted by the “Year’s Maximum Pensionable Earnings (YMPE) amount.