LIF and RRIF impact on WEP for Social Security

[rgiustini]

Hello,

Dual US/Canadian citizen, US resident with LIF and RRIF accounts in distribution and upcoming social security application. I am also receiving CPP and OAS, but the CPP is small and will not incur the full impact of WEP on my social security payment. The OAS is not subject to WEP as per the SSA POMS.

In previous threads, it has been stated that LIF and RRIF withdrawals do not increase the WEP subtraction from social security payments. I will soon be applying for social security, and am concerned that a SSA clerk will not see it that way and attempt to reduce SS by my LIF and RRIF income. I have researched the SSA POMS to try to find a definitive exclusion for this income from WEP, but can't find anything specific (as exists for CPP affecting WEP, but OAS not affecting it).

Can you point to a specific exclusion for LIF and RRIF income which I can present to the SSA if required at the time of application?

Thank you.

[nelsona]

While technically LIFs (not RRIFs) should be considered foreign pensions subject to WEP, practice right now is that they are not. Company pensions are. So a good strategy at the moment is to convert your pension to LIRA/LIF if given the opportunity.
Good discussion of this at
http://forum.keatsconnelly.com/viewtopi ... =10&t=2392

There are several good threads on WEP there, with some references. WEP is so unevenly applied that to try to nail down exactly what is and is not subject to (other than CPP and pension yes and OAS no).