Midpack
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Good news, bad news. I just thought this might be of interest to most current retirees, not just those who pulled the plug in 2000.
Retirement Researcher Blog: Updated Situation for 2000 Retirees
Retirement Researcher Blog: Updated Situation for 2000 Retirees
Now that 12 years have passed since the retirement date for 2000 retirees, we can obtain a progress report about how they fare relative to other historical retirees.
Ranked in terms of real remaining wealth 12 years after retirement, the 2000 retiree comes in 15th place with 67.6% of their retirement date wealth remaining after 12 years. This is for a 4% withdrawal rate, 50/50 asset allocation.
On the surface, the situation does not look dire for 2000 retirees. The 14 retirees with less remaining real wealth after 12 years all subsequently experienced success over 30 years with the 4% rule.
Did the 2000 retiree already past the test to be well on the way to success with the 4% rule as well? Perhaps, but I do not think that great confidence is called for yet.
While a lot of those retirees also appear in the above table as well for 12 year retirements, it is also worthwhile to note the current market conditions 12 years after retirement. For the 14 retirees ranked in worst-shape than the 2000 retiree after 12 years, harsh market conditions had already tended to bring market valuations to rather low levels.