The way I understand it, when taking 4% withdrawals it works like this:
I have $1,000,000 so I withdraw $40,000 for that year.
If next year I have $1,100,000, I can withdraw $44,000. Correct?
What if the following year my IRA balance is $900,000? Do I have to take a pay cut or do I still take whatever I took the previous year?
I have $1,000,000 so I withdraw $40,000 for that year.
If next year I have $1,100,000, I can withdraw $44,000. Correct?
What if the following year my IRA balance is $900,000? Do I have to take a pay cut or do I still take whatever I took the previous year?