Quote:
Originally Posted by LWJ
Ok. A question. For those who have retired without a pension (and, not counting SS) what percentage of your net worth do you use as an annual spend?
Example: say I have $1mm. Do I use 5% or all the way down to 3%?
I have been grinding on this (and other) related questions for a couple of years. Talking with the Advisor in two days. Last year, I challenged him to plan my retirement.
Wife didn’t buy it...
I think, as Higgins said above, I am “working for free.” Also, the FIRE calculator says I am golden.
Push me over the decision edge.
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I’ve always kept track of my net worth, I use to keep track of my spending also. When I was originally planning I used the retirement planners which basically called for around 4% of investments plus SS and pensions.
Now as long as my net worth continues to grow I don’t worry much about my spending. We retired in 2007 so we went right into a downturn, so we didn’t make any large purchases right off the bat. But since then things have been pretty good of coarse, and we keep several years in fixed investments to weather any future downturns.