3 ms·
Why 2%? The classic number for safe withdrawal rate is 4%, and that's without doing any modulating in the bad years. 3% seems good to me.
by robbintt 4y ago
Why 2%? The classic number for safe withdrawal rate is 4%, and that's without doing any modulating in the bad years. 3% seems good to me.
- cko 4y agoFor early retirees, Ben Felix has found the SWR to be closer to 2.7%. The oft-cited 4% depends on US data and studied 30-year time horizons. https://www.youtube.com/watch?v=1FwgCRIS0Wg https://www.youtube.com/watch?v=1FwgCRIS0Wg
- 082349872349872 4y agoafter inflation is key; I've lived through double-digit myself and doubt any non-modulating strategy could handle that gracefully.