The 4% rule is a popular rule of thumb for how much you can withdraw from your retirement savings each year without running out of money. However, it's important to remember that the 4% rule is just a starting point. Your individual circumstances, such as your age, retirement goals, and risk tolerance, will affect how much you can safely withdraw each year.
Here are a few key points to remember:
✅ The 4% rule is based on historical data. This means that it's not guaranteed to work in the future.
✅ The 4% rule assumes that you're withdrawing your money over a long period of time, such as 30 years. If you're retiring early, you may need to withdraw a lower percentage each year.
✅ The 4% rule assumes that your portfolio is well-diversified. If your portfolio is concentrated in a few risky assets, you may need to withdraw a lower percentage each year.
In the latest episode of Tech Careers and Money Talk, John Morrison, a financial advisor who specializes in working with tech professionals, shares his insights on the 4% rule and how to adjust it for your individual circumstances.
Click here to listen to the episode now: https://www.techcareersandmoneytalk.com/015-the-future-of-retail-wealth-management-a-conversation-with-john-morrison
What are your thoughts on the 4% rule? Do you have any questions for John Morrison? Share your thoughts in the comments below.
