A four percent withdrawal rate is a common rule of thumb when planning for retirement. But what does that mean? And more importantly, is it right for you? This article will discuss the four percent withdrawal rate and how it might impact your retirement planning.
What is a Safe Withdrawal Rate in Retirement?
The safe withdrawal rate is the percentage of the money you can take out of your retirement savings each year without depleting your account. The safe withdrawal rate is based on historical data and market returns. Lastly, it can be a helpful tool for retirees looking to ensure that their savings last throughout their retirement years.
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