A life income fund (LIF) acts as an extension of a locked-in retirement account (LIRA) . It allows you to periodically withdraw a portion of your savings accumulated in a pension fund and receive retirement income according to your needs. A LIF is similar to a registered retirement income fund (RRIF), except for the source of the funds and the payment of a maximum annual income.
You are required by law to withdraw a minimum annual amount and a maximum annual amount from your LIF. However, it is now possible to withdraw a higher annual income in exceptional situations.