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CatherineCoy:

<<<<The problem is that a using a 2% SWR requires accumulating 50x initial year expenses while using 4% SWR requires accumulating "only" 25x first year expenses. That likely will be years, maybe even decades for many people or even a lifetime for some people.>>>>

"Excuse me for being dense, but it seems like it should be the other way around. If I commit to withdrawing only 2% of my stash, then I need less stash, don't I, because I'm spending it at a lesser rate."

No. In my experience, most people target an income number and then calculate backwards to the necessary stash to produce the income necessary/required.

IOW, people do not say, oh goody, now that I have a $500k, I can require on 10k annual income.

Most people say I need 20k income to retire, so if I 4% is "safe" then I need 25x 20k or 500k. OTOH, if 2% is "safe, then I need 50x 20k or $1M, and I am 500k short and, D@MN, I will need to keep working for a goodly number of years until my 500k plus future savings equals $1M (while assuming that targe first income will not rise during those years).

Regards, JAFO




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