Episode 63: Can You Retire on a $1 Million?

You have no doubt heard the idea that you can retire by starting with $1 million dollars and just withdraw 4% per year.  Can you have confidence in this?  Today we talk about why this often won't work. Key takeaways: If you are 65 years old, and $1M dollars, spend $50,000/year, and only take 4% of your $1M, your money would only last about 20 years after inflation and taxes BUT everyone's situation is different.  Do you have a comprehensive retirement plan that takes into account:  Geography, longevity, lifestyle, health care, investment risk, taxes and inflation? The key is enough guaranteed income to cover your monthly expenses. Start saving NOW to time and compounding is on your side.