Originally Posted by ShokWaveRider
At the current desired burn rate, our assets will last about 30 years assuming ZERO return and no SS payments (Being VERY conservative here for assessment purposes). This is just a few years off of our desired ideal. This is based on just a simple subtraction and withdrawal from the mattress every month, and not including our home and other assets.
As long as you are showing your withdrawals increasing due to inflation then this works and your nest egg increasing the same amount each year then that is fine. That is, if you need $50,000 a year now and you were planning for 30 years and had $1,500,000 invested to match the inflation rate then you are OK. But if you had $1,500,000 in the mattress thereby not matching the inflation rate and need $50,000 a year for 30 years you aren't OK unless you are planning on that $50,000 buying a lot less in 20 or 30 years and you reducing your standard of living substantially because it will get eaten away by even low inflation.
Now if you are putting $1,500,000 in the mattress and you figure withdrawals for 30 years starting with $50,000 the first year and you adjust by some inflation percentage each year for 30 years and you still have enough to last 30 years then that is different.