Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Article questioning the 4% withdrawal rate for retirees
Old 06-21-2012, 05:40 PM   #1
Recycles dryer sheets
Semiretired2008's Avatar
 
Join Date: Jun 2012
Location: Central Ga
Posts: 230
Article questioning the 4% withdrawal rate for retirees

I felt the article brought up a few good points - 1st how the 4% does not predict the unexpected and how it could make you live to frugally - all depending upon how retirement unfolds and how markets perform...

'Does the 4% Rule for Retirement Withdrawals Make Sense?' - Yahoo! Finance
__________________

__________________
If you want someone to believe in you - First you have to believe in yourself and then you go from there...
Semiretired2008 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 Early-Retirement.org 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!

Old 06-21-2012, 08:39 PM   #2
Thinks s/he gets paid by the post
walkinwood's Avatar
 
Join Date: Jul 2006
Location: Denver
Posts: 2,676
yawn!
__________________

__________________
walkinwood is offline   Reply With Quote
Old 06-21-2012, 08:44 PM   #3
Recycles dryer sheets
Semiretired2008's Avatar
 
Join Date: Jun 2012
Location: Central Ga
Posts: 230
Quote:
Originally Posted by walkinwood View Post
yawn!
Sorry, I guess that is the consensus with the article. I will be more selective in the future...
__________________
If you want someone to believe in you - First you have to believe in yourself and then you go from there...
Semiretired2008 is offline   Reply With Quote
Old 06-21-2012, 08:50 PM   #4
Moderator
ziggy29's Avatar
 
Join Date: Oct 2005
Location: Texas
Posts: 15,612
Quote:
Originally Posted by Semiretired2008 View Post
Sorry, I guess that is the consensus with the article. I will be more selective in the future...
IMO, it's not that it's the consensus per se. It's that there's been a couple of articles per month for the last 2-3 years making that case.

4% may still survive the recent doldrums; it remains to be seen. But right now, give the rampant pessimism out there, these writers have to do something to get readers.
__________________
"Hey, for every ten dollars, that's another hour that I have to be in the work place. That's an hour of my life. And my life is a very finite thing. I have only 'x' number of hours left before I'm dead. So how do I want to use these hours of my life? Do I want to use them just spending it on more crap and more stuff, or do I want to start getting a handle on it and using my life more intelligently?" -- Joe Dominguez (1938 - 1997)

RIP to Reemy, my avatar dog (2003 - 9/16/2017)
ziggy29 is offline   Reply With Quote
Old 06-21-2012, 08:59 PM   #5
Recycles dryer sheets
Semiretired2008's Avatar
 
Join Date: Jun 2012
Location: Central Ga
Posts: 230
Quote:
Originally Posted by ziggy29 View Post
IMO, it's not that it's the consensus per se. It's that there's been a couple of articles per month for the last 2-3 years making that case.

4% may still survive the recent doldrums; it remains to be seen. But right now, give the rampant pessimism out there, these writers have to do something to get readers.
I had seen articles along that line before - just not stated the way this article discussed it. I guess since I do not use the 4% rule I do not follow these types of articles much...
__________________
If you want someone to believe in you - First you have to believe in yourself and then you go from there...
Semiretired2008 is offline   Reply With Quote
Old 06-21-2012, 09:32 PM   #6
Moderator Emeritus
Nords's Avatar
 
Join Date: Dec 2002
Location: Oahu
Posts: 26,616
Quote:
Bottom line: No spending system can accommodate all the twists and turns you'll experience in retirement. But if you think of the 4% rule as a guideline and stand ready to adjust your spending and withdrawals to changing conditions, you should be able to handle those unexpected events and still enjoy retirement.
It's a fair summary, but I'm enjoying the research that Wade Pfau is doing on improving the analysis. For example,

Retirement Researcher Blog: Updated Situation for 2000 Retirees
__________________

__________________
*
*

The book written on E-R.org, "The Military Guide to Financial Independence and Retirement", on sale now! For more info see "About Me" in my profile.
I don't spend much time here anymore, so please send me a PM. Thanks.
Nords is offline   Reply With Quote
Reply


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


 

 
All times are GMT -6. The time now is 08:48 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.