Thanks for the reply, that's a good point about the spending during large draw downs. However I think that's the ideal scenario, in reality you may have large drawdowns during those periods e.g loss of employment or health problems etc.My spending doesn't perfectly track CPI-U. My spending isn't perfectly constant every year; sometimes I buy a new car or furnace. Nobody keeps their spending constant during the massive portfolio drawdowns SWR assumes. I don't assume I know exactly when I will die. Most of the time SWR means you die with a massive portfolio that your heirs inherit. Etc. This has been argued about for decades at this point. SWR is well known because it is simple to calculate and simple to explain -- just a single number! But that's about all it has going for it.
Why is it not meaningful?
Statistics: Posted by alex123711 — Wed Dec 04, 2024 6:30 am — Replies 10 — Views 505