Are We There Yet? Why Your FIRE Number Could Be Way Off | Banker on FIRE
Banker on FIRE has a different take on how much money you need to retire early.
Banker on FIRE has a different take on how much money you need to retire early.
Loui runs the numbers on the 4% rule and comes up with a different theory.
Current bond yields are much lower than historical ones. So if you base your retirement on historical data and you’re investing in bonds, you might want to read this detailed analysis by The Poor Swiss.
Route 2 FI adapts his plan to retire in his mid-thirties. He takes into account the fact that he will still earn some money when FIREd along with his frugal lifestyle – under 20 000$ annual spending in an expensive country like Norway!
The Poor Swiss has updated the Trinity Study and adapted it to his particular situation. In this podcast he explains it all in more detail.
If your plan is to retire early with the 4% SWR you must know about the sequence of returns risk. The Poor Swiss wrote a good article about it.
The Poor Swiss tries to reproduce the results of the Trinity Study (on safe withdrawal rates) but uses more recent data and considers longer periods (up to 50 years). I think this is very useful stuff! Read on…
If you invest in index funds/ETFs and you’d like to understand how safe or risky it is to rely on the stockmarket, you need to know about the trinity study. The Poor Swiss gives us an overview.