facebookWhat is the "4% rule" in investing? Came across this while reading about investing. Is 4% really the maximum one should withdraw from one's retirement funds each year? - Seedly

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Anonymous

04 Aug 2020

Retirement

What is the "4% rule" in investing? Came across this while reading about investing. Is 4% really the maximum one should withdraw from one's retirement funds each year?

Discussion (3)

What are your thoughts?

Longer time will get you more when you retired. the high % return will reduce the time and capital as well. i started 2 years ago and returns be average 75% PA and now my monthly passive positive cash flow about 4x my expenses after my retirement since april 2021at age 48. so start young and get the right vehicle is most important.

I assume this question is not bound by time. Therefore, since there are exceptions to every rule, it is a good idea to be flexible with the 4% sweet spot.

You may need to compare your needs vs wants (with regards to spending habits) to know what percentage of funds to withdraw will work best for you.

It's a theoretical concept based on past longterm performance of the (predominantly) average U.S. st...

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