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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.Turn this around. If you need $50,000 to live on, and you "believe" The Study, if your SWR is 4%, you need a base of $1,250,000. If you don't believe The Study and believe that the most you can safely take out is 2%, and you still need $50,000 to live on, you need a base of $2,500,000. It sort of boils down to the fact intercst is betting the future won't be worse than the past (though he is NOT garuanteeing it) so you won't outlive your money and hocus is betting that it will be so much worse (the value of stocks will not continue to grow as in the past or something) that if you take out more than 2% you are in danger of going broke. Not so sure about the reasoning of the last part, but that's sort of the gist.arrete
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