Transfer your funds following a marriage or common-law partnership breakdown

In this article:

Overview

If your marriage or common-law partnership has broken down, you can transfer funds from your registered accounts to your current or former spouse or partner. If you're eligible, you can also ask us to remove the spousal contributor from your spousal RRSP or RRIF.

Tip: The annuitant is the primary owner of the account. Only the annuitant can start the processes below.

Transfer funds to your former spouse or partner

You can transfer funds from your spousal or individual RRSP, RRIF, or FHSA to your current or former spouse or partner. Ownership of the funds transfers to them.

The steps depend on where the receiving account is held.

If both accounts are with Wealthsimple

Complete the form that matches the account you're transferring from:

Both you and your current or former spouse or partner need to sign the form.

Note: Once you submit the form, it goes straight to our team for processing. You don't need to contact us.

If the receiving account is at another institution

Transfers to another institution follow a different process.

  1. Complete Form T2220, signed by both you and your current or former spouse or partner
  2. Contact our support team once you've completed the form
Note: If your current or former spouse or partner hasn't signed the form, you'll need to send us a copy of the decree, order, judgment, or written separation agreement.

Remove the spousal contributor

You can ask us to remove the spousal contributor from your spousal RRSP or RRIF. We do this by transferring your funds to an individual RRSP or RRIF under the same annuitant.

Conditions you need to meet

You need to meet all three conditions below.

1. Proof of separation

You and the contributor must be living apart at the time of your request because your marriage or common-law partnership has broken down, and we need to be satisfied with your proof of the breakdown.

You'll need to give us a written statement, signed and dated by you, confirming that you're no longer living with the contributor because of the breakdown:

  • For an RRSP, confirm you're no longer living with the person identified as the contributor
  • For a RRIF, confirm you're no longer living with the person identified as the contributor to any RRSP that funds were transferred from into that RRIF

If you have documents that show the breakdown, such as a separation agreement or divorce decree, we may also ask for a copy.

2. No contributions

There must be no spousal or common-law partner contributions to any of your RRSPs, including RRSPs held at other institutions, for the year of your request and the two previous years.

Your written statement needs to certify that your spouse, partner, former spouse, or former partner didn't contribute to any of your RRSPs in the calendar year of your request or in the two calendar years before it.

3. No withdrawals

There must be no withdrawals from the spousal RRSP during the year of your request. For a RRIF, you must not have withdrawn more than the minimum amount.

Your written statement needs to certify this.

Note: If you don't meet these conditions, the contributor can't be removed from a spousal RRSP or RRIF unless the spouse or partner who contributed to it has passed away.

Submit a Letter of Direction

The Letter of Direction you need depends on where you'd like your individual account to be held.

We'll then transfer your funds to a new or existing individual RRSP or RRIF in your name.

Note: We can't convert a spousal RRSP or RRIF into an individual account. The funds need to move to a new or existing individual account.

Frequently asked questions

Do I need to contact support after I submit a form?

If you're transferring funds and both accounts are with Wealthsimple, your form goes directly to our team and you don't need to contact us. If the receiving account is at another institution, contact our support team once you've completed Form T2220.

Can I use the internal forms to send funds to another institution?

No. Form T2220 (internal transfer), Form RC723 (internal transfer), and the Removal of Spousal or Common-Law Partner Designation from RRSP/RRIF only work when both accounts are with Wealthsimple. If the receiving account is held elsewhere, follow the steps in the sections above for transfers to another institution.

Where can I learn more about the tax rules?

You can review the Government of Canada's information about RRSPs and RRIFs.

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