> How does the 4% rule work if you are invested in index funds that yield a dividend? The simplest method: look at your portfolio's worth on January 1, and tak

> How does the 4% rule work if you are invested in index funds that yield a dividend? The simplest method: look at your portfolio's worth on January 1, and take out the appropriate amount. Let the remainder ride. So roughly: * Year 1: take out 4% * Year 2: Year 1 amount + inflation from Year 1 * Year 3: Year 2 amount + inflation from Year 2 * […] * Year N: Year (N-1) amount + inflation from Year (N-1)