I’m 68 and retired 3 years ago w 900k in a taxable acct. and I draw 4%. That plus my social security allows me to live comfortably. I’ve pulled an extra 10k here and 20k there for the house and trips and I’ve got close to the same amount I originally started with. The hard part is guessing how long you’ll live and spending down what you’ve saved and invested. I’d like to die w zero but it’s hard when you’ve been a saver all your life.
Some type of dynamic guardrails approach is the only strategy that makes sense, in my opinion. No retiree has exactly the same income need every year and the markets don't perform the same every year, so it makes sense that withdrawals will need to adjust throughout retirement, depending on real time lifestyle choices and market conditions. Some research shows that dynamic withdrawals can enable more lifetime spending than the 4% rule, if implemented correctly.
For me the essence is always this. I have two children. God only knows what future they face. I want to help them as much as possible. It is hard for me to spend on my own actualization when the same money could be applied to them. Perhaps I'm in the non-sweet spot where what I spend on myself makes a significant difference in what I leave for them.
I’m 68 and retired 3 years ago w 900k in a taxable acct. and I draw 4%. That plus my social security allows me to live comfortably. I’ve pulled an extra 10k here and 20k there for the house and trips and I’ve got close to the same amount I originally started with. The hard part is guessing how long you’ll live and spending down what you’ve saved and invested. I’d like to die w zero but it’s hard when you’ve been a saver all your life.
Some type of dynamic guardrails approach is the only strategy that makes sense, in my opinion. No retiree has exactly the same income need every year and the markets don't perform the same every year, so it makes sense that withdrawals will need to adjust throughout retirement, depending on real time lifestyle choices and market conditions. Some research shows that dynamic withdrawals can enable more lifetime spending than the 4% rule, if implemented correctly.
For me the essence is always this. I have two children. God only knows what future they face. I want to help them as much as possible. It is hard for me to spend on my own actualization when the same money could be applied to them. Perhaps I'm in the non-sweet spot where what I spend on myself makes a significant difference in what I leave for them.
Nick - this is probably your best content to date absolutely spot on and meaningful to this subscriber 😎 keep up the good work!
Thanks, will do!
Chapters in the video would be very helpful, thank you
A 4% withdrawal rate ensures your beneficiaries will live large.
I don't remember it being mentioned if the withdrawal percentage allowed in this risk adjusted guardrails approach is nominal or inflation adjusted.
Both.
Thanks for the excellent video, Nick. It is much appreciated!