What is the 4% rule for retirement?
The 4% rule says you can safely withdraw 4% of your retirement portfolio in year 1, then adjust that amount for inflation each year, with very high probability of the money lasting 30+ years. Originated from the Trinity Study. Spend $40K/year? You need $1M. Spend $80K? You need $2M.
More context
The 4% rule says you can safely withdraw 4% of your retirement portfolio in year 1, then adjust that amount for inflation each year, with very high probability of the money lasting 30+ years. Originated from the Trinity Study. Spend $40K/year? You need $1M. Spend $80K? You need $2M. The exact answer depends on your specific situation — the numbers above are a strong starting point, but the right next step is to plug in your actual figures.
For a deeper analysis, use one of the related tools below — they take your specific income, debt, location, and goals as inputs and produce a tailored answer.