1.9% instead of 4% the new safe withdrawal rate?

[Koolau]

Weight wise, how much does that package of precooked bacon weigh?

Weight for it 10.5 oz

 

[CRLLS]

From the article,

Would you believe 1.9%? That’s the conclusion of new research that replicates the original research that led to the 4%, but with more realistic assumptions about our life expectancies and a more comprehensive historical data set.

Of course, they don't mention what life expectancy they used actually was. In the original study they simply said for a 30 year period. As ER people, we know not to use that when retiring early. Nothing new here. In addition, the last few year's runup certainly wasn't in the original study either. I would say that 1.9% SWR would in fact succeed. A higher number would also. I call BS on the article.

Today's calculators where you enter a bunch of personal income, spending, saving, accounts and AA are so much more accurate for an individual than a single number for everybody. Then there is future performance......yada yada yada.

 

[tmm99]

Yeah, honestly just went to Sam's yesterday (upon return from the frozen tundra of the midwest) and bought a pack of 72 strips of pre cooked bacon. It cost just over $20. Thinking in terms of buying bacon strips (even at Denny's) that's quite a deal.



IIRC 3 lb of raw bacon was about the same price (and roughly similar number of strips.) SO... I think it's still a deal. If I DO ever contemplate doing myself in - I think the bacon diet is the way to go![emoji23]

I recently purchased something similar from Costco. If you have no plans to use the rendered fat from cooking uncooked bacon, the precooked bacon is the way to go in my opinion. I wrap a couple of strips in paper towel and nuke it for like 40 seconds - they turn into salty delightful crisps. I cook them less to add to eggs, etc too. No mess to deal with afterwards either. And much cheaper.

 

[Koolau]

I recently purchased something similar from Costco. If you have no plans to use the rendered fat from cooking uncooked bacon, the precooked bacon is the way to go in my opinion. I wrap a couple of strips in paper towel and nuke it for like 40 seconds - they turn into salty delightful crisps. I cook them less to add to eggs, etc too. No mess to deal with afterwards either. And much cheaper.

You have me heading for the fridge to grab a few pieces for my early morning snack! I always cook it but you don't even have to do that. You can eat it from the package AND you don't really need to refrigerate it. Refrigeration makes it keep longer (without becoming rancid) but you can travel with it just in the package or in pre-made sandwiches. What a flexible, delicious treat. YMMV

 

[REWahoo]

I find it fascinating that so many financial and retirement related threads, including this current one on the subject of safe withdrawal rates, eventually turn to the subject of bacon.

 

[audreyh1]

+1

Glad to be back home to my homemade bacon!

 

[NW-Bound]

I find it fascinating that so many financial and retirement related threads, including this current one on the subject of safe withdrawal rates, eventually turn to the subject of bacon.

One of the measures of a successful retirement is to be able to afford as much bacon as one desires.

So, of course a discussion of SWR will lead to talk about the availability and quality of bacon.

 

[NW-Bound]

You have me heading for the fridge to grab a few pieces for my early morning snack! I always cook it but you don't even have to do that. You can eat it from the package AND you don't really need to refrigerate it. Refrigeration makes it keep longer (without becoming rancid) but you can travel with it just in the package or in pre-made sandwiches. What a flexible, delicious treat. YMMV

Hmm... Travel with bacon. In the pocket of your trouser? You can then pull out a strip anytime while sitting in a trans-Atlantic flight to snack on. I'll bet if you had a craving of bacon inflight, the stewardesses would not be able to help out, even if you flied business class. Hence, a well-prepared bacon enthusiast must keep some with him at all time.

 

[aja8888]

Weight for it 10.5 oz

Help me here....you said 72 strips of bacon...in a 10.5 ounce package? Is that correct? If so, the strips must be very thin. Correct?

 

[audreyh1]

Help me here....you said 72 strips of bacon...in a 10.5 ounce package? Is that correct? If so, the strips must be very thin. Correct?

He may be talking about something like this which they claim was originally 4 lbs of bacon. You lose a lot of weight rendering the fat out of the bacon. https://www.amazon.com/Hormel-Black...wicXNhIjoiMy45NSIsInFzcCI6IjMuOTgifQ==&sr=8-2

 

[aja8888]

He may be talking about something like this which originally was 4 lbs of bacon. You lose a lot of weight rendering the fat out of the bacon. https://www.amazon.com/Hormel-Black...wicXNhIjoiMy45NSIsInFzcCI6IjMuOTgifQ==&sr=8-2

Well, I'll be! 72 strips weigh 10.5 ounces! I would have never thought that was the case. Thanks!

 

[tmm99]

I've just checked mine - Kirkland fully cooked bacon - 48 to 52 slices weighing around 500g (17.64 oz). My bacon seems to weigh twice as much for whatever reason...

 

[ERD50]

He may be talking about something like this which they claim was originally 4 lbs of bacon. You lose a lot of weight rendering the fat out of the bacon. https://www.amazon.com/Hormel-Black...wicXNhIjoiMy45NSIsInFzcCI6IjMuOTgifQ==&sr=8-2

Yes, and the water. I'd guess that the removal of so much water is what makes it shelf stable.

-ERD50

 

[ERD50]

Can you freeze these after opening, for more long term storage? IIRC, cooking the fat makes it less susceptible to turning rancid in a freezer

And my WR supports running an extra freezer in the garage.

-ERD50

 

[tmm99]

Can you freeze these after opening, for more long term storage? ...

Yes, I've done that before and I will do it again. We are a 2-person household and 50 slices of pre-cooked bacon will take so long to get through especially because DH doesn't eat it much.

 

[RenoJay]

30 year treasuries are currently yielding ~4%.

 

[SecondCor521]

I've never known one person to make that assumption in real life. The rule is simply calculated on that. But one problem is that real inflation is higher than the official government inflation figures used in those SWR studies, so the studies make it look more favorable that you won't run out of money.

Ideally one could calculate one's personal inflation rate and use that, although historical modelling would be challenging. I know my personal inflation rate over the past decade or so, but not what it was during the Great Depression because I wasn't born then.

The BLS numbers use a representative sample of goods, and I think they weight that basket based on scientific surveys of what people are actually spending money on. So in aggregate, the weighted average of personal inflation rates should match the BLS numbers assuming (as I do) that the BLS folks are doing their job well.

 

[Koolau]

I find it fascinating that so many financial and retirement related threads, including this current one on the subject of safe withdrawal rates, eventually turn to the subject of bacon.

I had a home-room teacher (7th grade) who demonstrated that "Everything ends up in dead cats!" I prefer "Everything ends up in bacon." YMMV

 

[Koolau]

Hmm... Travel with bacon. In the pocket of your trouser? You can then pull out a strip anytime while sitting in a trans-Atlantic flight to snack on. I'll bet if you had a craving of bacon inflight, the stewardesses would not be able to help out, even if you flied business class. Hence, a well-prepared bacon enthusiast must keep some with him at all time.

Heh, heh, before leaving the mainland homestead, DW put the last of the mainland bacon into PB samiches. So, flight attendant didn't need to provide bacon. BUT TSA spent 5 minutes looking at, wanding and "trace analysis rubbing" the samiches (through the plastic wrap, thank goodness.) I joked to DW that since we got there early (7:30AM) TSA wasn't busy so spent 10 minutes wanting her knees and 10 minutes worried about our carry-on food. By 11:00AM, I'm sure they wouldn't have bothered. YMMV

 

[Koolau]

Help me here....you said 72 strips of bacon...in a 10.5 ounce package? Is that correct? If so, the strips must be very thin. Correct?

Yep, very thin indeed. AND every piece is virtually perfect. Same size and weight as the others. It all tastes exactly the same. Nothing is ever burned and pieces come out crisp and never broken. It's a miracle of modern marketing and production. God Bless America!!! (and bacon.)

 

[Koolau]

Help me here....you said 72 strips of bacon...in a 10.5 ounce package? Is that correct? If so, the strips must be very thin. Correct?

Heh, heh, and I guess everyone is ignoring my "weight" for it. Oh, well. They can't all be gems. But the bacon is wonderful - enjoy.

 

[NW-Bound]

Hmm... Travel with bacon. In the pocket of your trouser? You can then pull out a strip anytime while sitting in a trans-Atlantic flight to snack on. I'll bet if you had a craving of bacon inflight, the stewardesses would not be able to help out, even if you flied business class. Hence, a well-prepared bacon enthusiast must keep some with him at all time.

Just now noticed that I wrote "flied" instead of "flew". Dang, that's another sign of old-age senility.

Heh, heh, before leaving the mainland homestead, DW put the last of the mainland bacon into PB samiches. So, flight attendant didn't need to provide bacon. BUT TSA spent 5 minutes looking at, wanding and "trace analysis rubbing" the samiches (through the plastic wrap, thank goodness.) I joked to DW that since we got there early (7:30AM) TSA wasn't busy so spent 10 minutes wanting her knees and 10 minutes worried about our carry-on food. By 11:00AM, I'm sure they wouldn't have bothered. YMMV

If you fly to Australia, or to the US from a foreign country, you will get into trouble with importing meat products. Of course, if you consume it all on the plane, then it's OK.

I still remember losing an entire pack of unopened Costco beef jerky to Australian customs, way back in 1999. My wife wanted to bring it along for a snack on the trip. Now, I keep having to remind her of that incidence to prevent her from repeating that mistake.

 

[youbet]

Yep, very thin indeed. AND every piece is virtually perfect. Same size and weight as the others. It all tastes exactly the same. Nothing is ever burned and pieces come out crisp and never broken. It's a miracle of modern marketing and production. God Bless America!!! (and bacon.)

Is it made from pork?

 

[aja8888]

Is it made from pork?

I was wondering that too since it looks like a reproduction. Something like the "bacon" treats I give my dog occasionally. Since fake ground beef is available, I would imagine fake bacon could be manufactured too, and maybe out of vegetable products, salt, coloring, flavoring,etc.

 

[NW-Bound]

Is it made from pork?

I was wondering that too since it looks like a reproduction. Something like the "bacon" treats I give my dog occasionally. Since fake ground beef is available, I would imagine fake bacon could be manufactured too, and maybe out of vegetable products, salt, coloring, flavoring,etc.

Eh, if it looks like bacon, and tastes like bacon, why the objection?

And then, tying back to the thread topic, when we are forced to live on 1.9% WR instead of 4%, can we afford to be so choosy?

And I just think of this now: Jamie Dimon of JP Morgan recently said the market could easily drop another 20% or so from here.

Now, if you are a fresh retiree, or want to compute your WR as if you are, the new 1.9% WR from a portfolio that is chopped in 1/2 from its high is what, 1% of the old portfolio, or 1/4 of the amount you could withdraw less than a year ago.

Your income cut to 1/4, and you still wondering if your bacon is real?