Experts say the 4% rule, a popular retirement income strategy, is outdated
Market conditions are pressuring the 4% rule, a popular rule of thumb for retirees to determine how much money they can live on each year without fear of running out later.
Withdrawing money from one’s nest egg is among the most complex financial exercises for households. There are many unknowns — the length of retirement, one’s spending needs (health costs, for example) and investment returns, to name a few.
The 4% rule is meant to yield a consistent stream of annual income, and give seniors a high degree of comfort that their funds will last over a 30-year retirement.
Retiree News 
Comments are closed.