Is the Iconic “4%” Rule Dead for Retirement Withdrawals? - Denver Post
For many years, we’ve heard financial advisors speak about the “4% Rule” which posits that to avoid running out of money before you die, you should plan to withdraw only about 4% of your retirement nest egg annually, and adjust that withdrawal (upwards) according to the annual inflation rate. Most financial pundits have used that as their gold standard for advising clients on how to plan for retirement. But, is the 4% rule still valid, considering the rocky road we’re on today – historically low interest rates and soaring inflation? There are many who suggest a new strategy might be in order but, in this Denver Post article, financial guru Charlie Farrell suggests that abandoning that old standard may not be the smartest approach. Click here to read more.