Article questioning the 4% withdrawal rate for retirees

[Semiretired2008]

I felt the article brought up a few good points - 1st how the 4% does not predict the unexpected and how it could make you live to frugally - all depending upon how retirement unfolds and how markets perform...

'Does the 4% Rule for Retirement Withdrawals Make Sense?' - Yahoo! Finance

 

[walkinwood]

yawn!

 

[Semiretired2008]

yawn!

Sorry, I guess that is the consensus with the article. I will be more selective in the future...

 

[ziggy29]

Sorry, I guess that is the consensus with the article. I will be more selective in the future...

IMO, it's not that it's the consensus per se. It's that there's been a couple of articles per month for the last 2-3 years making that case.

4% may still survive the recent doldrums; it remains to be seen. But right now, give the rampant pessimism out there, these writers have to do something to get readers.

 

[Semiretired2008]

IMO, it's not that it's the consensus per se. It's that there's been a couple of articles per month for the last 2-3 years making that case.

4% may still survive the recent doldrums; it remains to be seen. But right now, give the rampant pessimism out there, these writers have to do something to get readers.

I had seen articles along that line before - just not stated the way this article discussed it. I guess since I do not use the 4% rule I do not follow these types of articles much...

 

[Nords]

Bottom line: No spending system can accommodate all the twists and turns you'll experience in retirement. But if you think of the 4% rule as a guideline and stand ready to adjust your spending and withdrawals to changing conditions, you should be able to handle those unexpected events and still enjoy retirement.

It's a fair summary, but I'm enjoying the research that Wade Pfau is doing on improving the analysis. For example,

Retirement Researcher Blog: Updated Situation for 2000 Retirees