3 ms·
> 7% interest … 9% return … 32 years These are wild figures. Most adventurous rules of thumb are about 4-5% over inflation. If you have a way to be confident i
by robga 4y ago
> 7% interest … 9% return … 32 years
These are wild figures. Most adventurous rules of thumb are about 4-5% over inflation. If you have a way to be confident in getting 7-9% pa over 30 years quit your day job and pile your time into whatever that secret is.
Then you’re pulling out 4% + fees a year which is also around the point of confident adventurousness. Many now say 3-3.5% including fees.
Good luck to you.
- snow_mac 4y ago7-9% is a range conservative estimate of the stock market returns since 1920; that is adjusting for inflation. Here's one source that supports the 7-9% range over the last 30 years: https://www.sofi.com/learn/content/average-stock-market-return/#:~:text=The%20average%20stock%20market%20return%20is%20about%2010%25%20annually%20in,7%25%20when%20accounting%20for%20inflation https://www.sofi.com/learn/content/average-stock-market-retu.... 1920 to 2022: 7.38% (adjusted for inflation) https://www.officialdata.org/us/stocks/s-p-500/1920?amount=100&endYear=2022 https://www.officialdata.org/us/stocks/s-p-500/1920?amount=1... 1989 to 2022: 7.4% (adjusted for inflation) https://www.officialdata.org/us/stocks/s-p-500/1989?amount=100&endYear=2022 https://www.officialdata.org/us/stocks/s-p-500/1989?amount=1...