How about 1968 to 1998? that hasn't often looked good..but worse.....And if I look at your 1927 on... you have two good years, followed by a lot of bad years.If you had retired in 1929 with 1 million... or, whatever the year you have with the 14.6% drop.....The first year.... - 14.6so guves youmillion minus 4.5% or 45Kand loss of value of 14.6% on the amount after withdrawal, giving you $815,570.The second year -28.6 down....Take out 4.5% leaving 778,869and loss of value down to $556,113The third year....down 44.5%take out your 4.5%.....which is only now about half of what you started with......leaving $531,088and the loss that year is down to $294,753ouchand the fourth year....down 9.4%.....your take at 4.5% is about 12.5K, and there is no inflation, so that is what you get to live on......so we have $281,490 after your withdrawal...and that year it loses 9.4%.... down to $255030....NOw you are down to 25% of what you started at, both for principle and for income...... no more 45K a year....think 1/4 of that...11.7K maybe....before taxes if any.......Down to dog food diet.......Yes????An all stock portfolio is very subject to any declines in the first five-7 years of retirement......t.
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra