Generally, you should plan to have a sustainable withdrawal rate – 4% is a good place to start, but it could be a little higher if you plan to retire near 70, or it should be lower if you plan to retire near 60. Sometimes it’s good to have a dynamic withdrawal plan based upon market conditions. For example, if the stock market is having a good year, you may be able to withdraw more than 4%. Likewise, in a falling market you may want to withdraw less than 4% to better preserve your portfolio.
Watch the full episode, Protecting Your Retirement Income