How many times salary?

[jerome len]

I really don't look at Xtimes expenses. My goal was a combination of SS along with dividend mutual funds and bond interest that cover all my expenses. Since SS and dividend funds increase most years I feel I have inflation covered. Now, I'll be leaving a bunch of money but I have a younger DW, a good CPA and great kids. When I'm not around DW can start drawing down if she needs to and won't have to worry. I don't mind helping kids as long as I have enough to enjoy life while I"m here. I'm lucky, saved enough and have a great family.

 

[Mulligan]

Having a pension fortunately for me, negated any need to worry about assets. I just simply retired when I could live on 60% of my take home part of my pension.


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[lazysundays]

I just read Bengen's 4% rule article using historical data. That article is great. Easy to read. I am curious what critics have to say about this article, so will research that. I am curious if they can dispute the statistics.

I tried reading kitces. Too much lingo I don't understand. Way over my head. Damn it Jim I'm a pharmacist not an investor!

Have yet to look through other suggestions.

 

[explanade]

I think 40x is probably a bit conservative for a 60-65 year old. A 3.5% WR would be reasonably prudent for that age especially since if need be vacations could be dialed back and are a high % of the total expenses. That would equate to ~$2.5m in today's $.

If you haven't already done so you may want to get a copy of Quicken Deluxe or higher and run your situation through the Lifetime Planner.

I noticed tho that if you give QLP an annual budget, it calculates withdraws at some higher figure. I guess that's based on the anticipated tax rate you give it so if you say $100k, it will withdraw $125k.

IIRC, the Fidelity planner also did something similar.

So would it be 25x your budget or the withdrawal that various calculators come up with to meet the given budget?

 

[pb4uski]

.....So would it be 25x your budget or the withdrawal that various calculators come up with to meet the given budget?

Neither. I look at survivability using 5 to 10 different tools. In my case they all pointed to ER to different degrees.

Then I withdraw what we need to live.