Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Re: 6% + SWR's
Old 06-03-2006, 01:44 PM   #41
Recycles dryer sheets
obryanjf's Avatar
Join Date: May 2005
Location: Owensboro, KY
Posts: 138
Re: 6% + SWR's

The idea that the world may end or nearly so, so there is no reason to plan with the information one has, to me seems odd and misplaced. The same argument could have been made in 1920(Boom), 1930(Depression), 1940(War), 1970(Stagflation), 1990(Clinton, kidding) etc. The world did not end and those that planned probably made out ok. Some that did not plan sailed thru ok and others slowly got buried by inflation, low return CD's or volutility.

I do not know what the next 10, 20 or 50 years will look like in terms of returns. If they look like the great depression and 1970's then I'll be OK because my model survives that plus. If it is worse, then I'll be in trouble, like 300MM other people (minus a couple from this board and the trumps ).

On the SWR, I am sure that 98% (~high number) of retirees do not have a clue what a SWR is or how one is derived, and they do not give a rat's axx. Along 2B's thought; My mom is a decent example. She (&65) and my FIL live in a ~1MM house/farm. Not counting the land, Her WD's are about 5k+SS, his are similar+SS. Her WD% is 1.6%, his is similar. They could not care less about WD rates. I've told her (and him), they are not spending enough, or in other words, they have some flexibility to spend more if they would like. Don't care, don't want. Neither have a clue the amount they should be spending but are happy with want they are spending.

Hopefully by planning for the worst we've seen in 75 years I'll weather the next 50 or so if I make that. Me being 4 years from the age my father passed and understanding my SWR better might allow me to not work till I'm dead. Or it might allow me to change pace quicker than I otherwise would. In fact, that is my plan. Now understanding my SWR better, I putting the wheels in motion to have a soft landing into my ER in a couple of years.



obryanjf is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: 6% + SWR's
Old 06-03-2006, 02:06 PM   #42
Thinks s/he gets paid by the post
Join Date: Apr 2006
Posts: 1,487
Re: 6% + SWR's

they are not spending enough ...but are happy
then they don't have a problem! clueless or otherwise. on the other hand, had they the world best swr model, and were spending the "right amount" but were not happy (with that level of spending), or were quickly running-out of funds, then they'd have a problem.

d is offline   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Firecalc and SWR's Markedward FIRE and Money 16 06-15-2006 03:46 PM
Scott Burns on SWRs Nords FIRE and Money 2 06-04-2005 03:51 PM
SWRs - Percentage or $ Amount ? Cut-Throat FIRE and Money 10 10-04-2004 04:43 PM
Diff EQs and SWRs intercst FIRE and Money 2 09-05-2004 11:31 AM
Add Int'l equities to FireCalc = increased SWR's? Cb FIRE and Money 2 02-26-2004 02:36 AM


All times are GMT -6. The time now is 12:00 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2018, vBulletin Solutions, Inc.