Faculty Publications

Title

How Should Retirement Spending Adjust to Investment Portfolio Performance?

Document Type

Article

Publication Date

5-20-2015

Abstract

A natural starting point for discussions about retirement spending is the 4% rule. William Bengen look at all the different 30 year periods in US history and found that withdrawing 4% of retirement date assets, and then subsequently adjusting the spending amount for inflation over the next 30 years, would have worked historically as a sustainable strategy.