Yes, the surviving spouse may be able to access the deceased spouse's retirement funds to pay off the mortgage, depending on various factors such as the type of retirement account, the deceased spouse's age at the time of death, and the surviving spouse's financial needs.

Here are some potential options for accessing retirement funds to pay off the mortgage:

1. **Beneficiary Distribution**: If the deceased spouse designated the surviving spouse as the beneficiary of their retirement accounts, such as a 401(k) or IRA, the surviving spouse may have the option to withdraw funds from these accounts. However, it's important to consider the tax implications of withdrawals, as they may be subject to income tax.

2. **Spousal Rollover**: In some cases, the surviving spouse may choose to roll over the deceased spouse's retirement account into their own IRA or qualified retirement plan. This can provide more flexibility in managing the funds and accessing them as needed.

3. **Early Withdrawal**: If the surviving spouse is under the age of 59½ and needs to access retirement funds to pay off the mortgage, they may be subject to early withdrawal penalties on certain types of retirement accounts, such as traditional IRAs or 401(k)s. However, there are exceptions to these penalties in certain circumstances, such as for first-time homebuyers or for certain medical expenses.

4. **Loan Against Retirement Account**: Some retirement plans, such as 401(k)s, may allow participants to take out loans against their account balances. The surviving spouse may be able to borrow funds from the deceased spouse's retirement account to pay off the mortgage, although this option may have limitations and implications for future retirement savings.

Before accessing retirement funds to pay off the mortgage, it's important for the surviving spouse to carefully consider the potential impact on their retirement security, tax implications, and any other available options for managing the mortgage debt. Consulting with a financial advisor or tax professional can provide personalized guidance based on the individual's circumstances.

A surviving spouse can access a deceased spouse's retirement funds, and use them to pay off a mortgage ¹. The specifics of how this is done can vary depending on the type of retirement account and the province in which it was registered. In general, a surviving spouse can roll over the retirement funds into their own IRA or 401(k), or they can treat the IRA as their own. In some cases, the funds can be withdrawn in a lump sum.