Quote:
Originally Posted by racy
That's known as the probability-based method of retiree income. There's another method called safety-based. Wade Pfau compares/contrasts them in this table:
Retirement Researcher Blog
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Probability works if you want to predict something for a population. I know exactly what the pattern of electrons beyond 2 slits will be, but I can't tell you where a particular electrom will end up. This is why I look skeptically at the current dogma of probability based methods when planning my own specific retirement. As I said probability works for insurance companies and governments who deal with sample sizes greater than one.
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“So we beat on, boats against the current, borne back ceaselessly into the past.”
Current AA: 75% Equity Funds / 15% Bonds / 5% Stable Value /2% Cash / 3% TIAA Traditional
Retired Mar 2014 at age 52, target WR: 0.0%,
Income from pension and rent
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