But that assumes you will not take from the principle and thus the retirement fund can last any length and in theory forever. That's not correct. The 4% rule of thumb says nothing about invading principal. You take 4% of your initial next egg the first year, then increase the withdrawal for inflation each year afterward. I always took the 4% rule as 4% of portfolio that year. Rinse, wash, repeat, always taking just 4%. Some years more, some years less.Hundred ways to skin a cat.JLC
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