1 Reason I Don't Trust the 4% Rule to Stretch My Money in Retirement, and What I'll Be Doing Instead
Whether you kick off your senior years with a nest egg worth $300,000 or $2 million, there's unfortunately always the worry that your money might run out. That's why financial experts have long advised savers to follow the 4% rule in managing their retirement funds. But while that rule is a decent starting point, it's not one I plan to follow.
Under the 4% rule, you start by withdrawing 4% of your savings balance your first year of retirement. You then adjust subsequent withdrawals for inflation. Stick to that plan, and there's a strong chance your nest egg will last 30 years.
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Source Fool.com
