News | 12.03.18
The Myth of Steady Retirement Spending, and Why Reality May Cost Less
The so-called 4 percent rule of retirement spending holds that if you invest in a mix of roughly 60 percent stocks and 40 percent bonds, you can safely spend 4 percent of your savings annually over 30 years without fear of depleting your nest egg. This approach is at the heart of many popular online retirement calculators but many financial advisors and academics say it belies reality. Research has shown that as people get older, they spend less, which ultimately means their retirement savings last longer.
Read the full article on New York Times