harley
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
I'm not a fan, and I agree with GenXguy that she's mathematically challenged, at least in this instance.
I was just reading another article quoting her - Suze Orman slams the 4% retirement rule as ‘very dangerous’ — even though its creator Bill Bengen now calls it too conservative. What’s the new golden number for your golden years?
In the article she says
The article also says Bill Bergan has increased his percentage to 4.7%. That's a little rich for my conservative blood, but at least he backs his numbers up with math and real data. She's just pulling this stuff out of her tanned behind. And I do realize that her target audience is very different than most here, but still, I'd have probably shot myself if I thought I'd have to work to 70 and only draw down 3% max.
I was just reading another article quoting her - Suze Orman slams the 4% retirement rule as ‘very dangerous’ — even though its creator Bill Bengen now calls it too conservative. What’s the new golden number for your golden years?
In the article she says
You could face personal challenges like a health problem that requires a big pile or steady stream of cash. The uncertainties are endless, which is why Orman advises Americans to “take the least amount possible out of retirement accounts.”
Orman says the less money you withdraw each year, the “better off you are.”
If you need a percentage target to hit, Orman suggests you only withdraw up to 3% of your nest egg each year.
At the same time, she encourages Americans to “work until at least 70 or longer, so that your assets have more of a chance to build up” and delay taking Social Security benefits until the age of 70 so that you receive the maximum monthly sum.
The article also says Bill Bergan has increased his percentage to 4.7%. That's a little rich for my conservative blood, but at least he backs his numbers up with math and real data. She's just pulling this stuff out of her tanned behind. And I do realize that her target audience is very different than most here, but still, I'd have probably shot myself if I thought I'd have to work to 70 and only draw down 3% max.