Questioning the 4% Rule: Tailoring Your Retirement Plan to Your Financial Needs

11 months ago
1

Do you ever question the financial advice that's out there? If you've heard about the 4% rule – that you should only draw 4% from your retirement funds each year - and blindly followed it, this segment from our Ditch the Suits Podcast is for you.

We strip down this widely acknowledged financial concept, highlighting the fact that it isn't a one-size-fits-all solution. Can you believe the original creator of the 4% rule suggested that one could withdraw up to 10% depending on various circumstances? Yes, that's right!

We dig into the assumptions behind this rule, illustrating why your portfolio might not be able to support the 4% withdrawal. Are you aware of the importance of diversification and how a poorly diversified portfolio can increase your sequence of return risk? We guide you through this and more, focusing on the significance of comprehending investment and financial planning, not just adhering to a set rule. Remember, your investment plan and portfolio structure must harmonize with your specific financial requirements and situation.

Don't miss out on this insightful episode as we encourage you to challenge the consensus and make financial decisions that are right for you.

Listen to Ditch the Suits at https://ditchthesuits.buzzsprout.com/

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