how does 401k factor into the 4% swr?

[frugalnacho]

How do you account for money in your 401k into your safe withdraw rate?  If I can live on 20k I would need 500k invested, but what if I have 250k in my 401k and I can't touch it until i'm 59 1/2, but i'm only 30 years old when I retire?

[seattlecyclone]

You should consider the 401(k) assets as part of your overall stash when calculating your 4% withdrawal amount. If you anticipate exhausting all taxable accounts before you reach age 59 1/2, it is possible to access some of these funds by gradually rolling your 401(k) funds over to a Roth IRA over a number of years. Search the forum for "Roth pipeline" to get more information about this option.

[lexie2000]

How do you account for money in your 401k into your safe withdraw rate?  If I can live on 20k I would need 500k invested, but what if I have 250k in my 401k and I can't touch it until i'm 59 1/2, but i'm only 30 years old when I retire?

Also, you can withdraw from a 401k prior to 59 1/2 without penalty using the 72T rule, but the IRS dictates how much you can take out each year.

[Khan]

You should apply some discounting factor to the 401k in determining your 4% SWR amount. There are ways of accessing your 401k money, via the 401k roth pipeline method, and SEPP as well, so it's not completely locked down, but expect to lose some face value to the taxes you haven't paid.

Also, don't just drop out at 4% minimum life costs and call yourself good. Make sure your SWR has some amount of leeway built into it. 4% is fairly well supported(in America historically), but a variable 4% with excess built in?