when setting up a 72t what % do you add for inflation?

retiringat50 · 01-17-2008, 06:50 PM

Setting up a 72T, want to replace my current salary.
However I'll be into this 72T for 9 years. How much percent wise should I plan for inflation?

crazy connie · 01-17-2008, 07:53 PM

Welcome to 72t on the Net

I would suggest doing a good bit of reading there to help you with your decision. After a lot of reading there I elected not to re-calculate annually. My 1st check arrived in November 07 and I have 6 and a half years to go. I also have some other funds that I can tap into a bit later if need be. Good Luck!

CyclingInvestor · 01-18-2008, 12:34 AM

I am 49, 2 years into my 72t. I use the annual recalc method, which results in about
a just under 3% withdrawal this year, increasing to a final draw of around 4% in
the final draw (when I turn 59.5). The 'inflation' protection is from the generally
increased balance each year.

01-17-2008, 06:50 PM	#1
retiringat50 Recycles dryer sheets Join Date: Dec 2007 Posts: 79	when setting up a 72t what % do you add for inflation? Setting up a 72T, want to replace my current salary. However I'll be into this 72T for 9 years. How much percent wise should I plan for inflation?

01-18-2008, 12:34 AM	#3
CyclingInvestor Full time employment: Posting here. Join Date: Jul 2005 Location: Los Angeles area Posts: 810	I am 49, 2 years into my 72t. I use the annual recalc method, which results in about a just under 3% withdrawal this year, increasing to a final draw of around 4% in the final draw (when I turn 59.5). The 'inflation' protection is from the generally increased balance each year. __________________ learn, work, save, invest, fire

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01-17-2008, 07:53 PM	#2
crazy connie Full time employment: Posting here. Join Date: Feb 2006 Posts: 755	Welcome to 72t on the Net I would suggest doing a good bit of reading there to help you with your decision. After a lot of reading there I elected not to re-calculate annually. My 1st check arrived in November 07 and I have 6 and a half years to go. I also have some other funds that I can tap into a bit later if need be. Good Luck!

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