militaryman
Recycles dryer sheets
Good Morning All
I hope I am thinking about this correctly. In general, can I disregard inflation's effects if I also do not consider the growth effects on my 401k balance?
Example: If I have a $1,000,000 401k at retirement's start and need that account to cover an expense shortfall of $33,000/year for a 30 year projected retirement can I be assured I am probably "good to go" because.... although inflation will require greater and greater withdraws to maintain the buying power of the expense shortfall, I will also hopefully average the same or greater returns on my investments than inflation?
1,000,000/30 = 33,333
Thank you for your comments!
I hope I am thinking about this correctly. In general, can I disregard inflation's effects if I also do not consider the growth effects on my 401k balance?
Example: If I have a $1,000,000 401k at retirement's start and need that account to cover an expense shortfall of $33,000/year for a 30 year projected retirement can I be assured I am probably "good to go" because.... although inflation will require greater and greater withdraws to maintain the buying power of the expense shortfall, I will also hopefully average the same or greater returns on my investments than inflation?
1,000,000/30 = 33,333
Thank you for your comments!