Author Topic: NYT article on 4% Rule, Bergen  (Read 3384 times)

Glenstache

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NYT article on 4% Rule, Bergen
« on: May 08, 2015, 10:56:14 PM »
http://www.nytimes.com/2015/05/09/your-money/some-new-math-for-the-4-percent-retirement-rule.html?_r=0

Unusually mathematical for an NYT article. Argues for a 2.8% rule. Key quote, “Most of the time, you underspend,” said Mr. Pfau, who is also a principal at McLean Asset Management. “Yet you still run the risk of running out.”

Eric

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Re: NYT article on 4% Rule, Bergen
« Reply #1 on: May 09, 2015, 01:06:58 AM »
The whole article was written on the assumption of 50/50 stock/bond split, right?  I hate it when they do that.

forummm

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Re: NYT article on 4% Rule, Bergen
« Reply #2 on: May 09, 2015, 07:47:14 AM »
Another thread on it:
http://forum.mrmoneymustache.com/investor-alley/nyt-new-math-for-retirees-and-the-4-withdrawal-rule/msg655865/#new

I found the article confusing and not that useful for a person looking to retire.

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Re: NYT article on 4% Rule, Bergen
« Reply #3 on: May 10, 2015, 07:08:23 AM »
The whole article was written on the assumption of 50/50 stock/bond split, right?  I hate it when they do that.

Me, too.  What's that ratio geared for according to mainstream investing?  A 50-year old*?  What about everyone else?


* 100 minus age = stock allocation %  (not that I buy it)

mozar

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Re: NYT article on 4% Rule, Bergen
« Reply #4 on: May 10, 2015, 03:22:17 PM »
The article sounded like fearmongering to me. Oh no! You have to do 4.5% now. I've got bigger things to worry about.

NICE!

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Re: NYT article on 4% Rule, Bergen
« Reply #5 on: May 10, 2015, 04:00:35 PM »
The whole article was written on the assumption of 50/50 stock/bond split, right?  I hate it when they do that.

Seriously. How many of us are doing that? Isn't the vast majority of this forum (obv not representative of the general populace) around 80+% equities?

Me, too.  What's that ratio geared for according to mainstream investing?  A 50-year old*?  What about everyone else?

I don't think I ever plan to drop to 50% equities. 60? Maybe.
« Last Edit: May 10, 2015, 04:03:08 PM by NICE! »

 

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