safe withdrawal question

[Carol Morgan]

Most people have their savings in different accounts. I have 3 accounts which cannot be combined. So if you withdraw the so called safe 4% rate from account one, it would obviously deplete, and the other 2 accts would obviously grow untapped. So would this 4% withdrawal strategy apply in this case when you have several different accounts where you deplete one at that %rate and then move on to deplete the next? :-/

 

[WilliamG]

The 4% would apply to the sum of all of your accounts.

 

[JWR1945]

There may be an effect on rebalancing your portfolio. If all of the accounts are similar (e.g., all in savings accounts as opposed to savings in one and bonds in another), there is no effect. Only their totals have to be rebalanced.

Have fun.

John R.