Maximum Annual Payments Sample Clauses

Maximum Annual Payments. No Annual Payment may exceed the Maximum Amount. For any Year before the Year in which You reach age 90, the Maximum Amount is determined as follows: Maximum Amount = C/F where C is the balance in the Restricted LIF: i) at the beginning of the Year; or ii) if the amount determined in paragraph 1(c)(i) is zero, at the date when the initial amount was transferred into this Restricted LIF; and where F is the value, as at the beginning of the Year, of a pension benefit of which the annual payment is $1, payable on January 1 of each Year between the beginning of that Year and December 31 of the Year in which You reach 90 years of age, established using an interest rate that: iii) for the first 15 Years after January 1 of the Year in which the Restricted LIF is valued, is less than or equal to the monthly average yield on Government of Canada marketable bonds of maturity over 10 Years, as published by the Bank of Canada, for the month of November before the beginning of the Year; and iv) for any subsequent Year, is not more than 6%. In the Year in which You reach age 90 and in all subsequent Years, the Maximum Amount is the value of this Restricted LIF immediately before the time of the payment. For the Year in which this Restricted LIF was opened, the Maximum Amount determined above under paragraph i) or ii) must be multiplied by the number of months remaining in that Year and then divided by 12, with any part of an incomplete month counting as one month. If, when this Restricted LIF was opened, part of the Locked-In Funds included funds that had been held in another Restricted LIF You owned earlier in the Year in which the Restricted LIF was established, the Maximum Amount determined is deemed to be zero in respect of that part of this Restricted LIF for that Year.