I understand 4% is a safe withdrawal rate during retirement and average stock market return is 7%.
The 7% is the average return but assuming the ups and downs of market, what is the average growth that can be expected during withdrawals?
Say I have 25x networth and am withdrawing 4% what's the average growth return I can have? I tried running firecalc for 1M and 40k expenses and see the below numbers
Period -> | Return (Along with 4% withdrawal) |
|
So for example for a 10 year period, my investment will grow at 5.9% including withdrawals. I'm not very good at math but is there a way to calculate these for any period and any networth (20X, 25X, 30X, 35X, 40X etc...)