4% Rule is Dead. Here's How to Build a Paycheck That Never Runs Out with Jean Chatzky

Comments · 92

• GA

  @gabrothers1 · 2 weeks ago · pinned

  Commenters mostly focused on instances that trigger or poke a personal linchpin in decision making that illustrates lack of an objective overview. Unless 100% of your $ is in a taxable account, you will have to annuitize your savings. Roth conversions are similar to lump sum purchases. RMDs force a schedule on you. The annuity has 2 strengths not focused on, simplicity that all operations and decisions that result in that monthly income are made for you and that if healthy enough, you may come out on top of the risk pool. Stark contrast arguments reveal little insight into the gray that has to be navigated.

• JO

  @johnlittle8267 · 2 weeks ago

  The 4% rule was meant to be a minimum and that was misinterpreted by others - most people are now confident with 5-6%.

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• JA

  @JasonBrown-mq4dl · 2 weeks ago

  I'd rather just automate my withdrawals to create a pay check rather than hand over all my money to an insurance company to dole it out to me.

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• BO

  @Bondbeer · 2 weeks ago

  $5k per month does not beat $1m in today’s environment where bond yields are at generational highs. AA rated corporate bonds can be found at 6.5% that will go beyond your lifetime and your heirs get the principal upon maturity or can sell and reinvest.

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• BA

  @Batirtze-b6x · 2 weeks ago

  GREAT conversation,  as usual.  Thank you both. 💎💎

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• HU

  @Hummingbird5975 · 2 weeks ago

  We have to live under a budget this is a  very important point but nobody is telling

  1

• MA

  @Makebetterchoices365 · 2 weeks ago

  I have read several of Jean’s books and I just bought the new one. I have a small pension and social security but I’ve been thinking about getting an annuity. I’m also buying more dividend investments and maybe that will be my additional forever paycheck.

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• CH

  @ChitChatBFF · 2 weeks ago

  My favourite topic<br>Great job

  3

• TW

  @twilde3754 · 2 weeks ago

  I am with you Jean, I looking into buying an annuity. Maybe I&apos;m pigeonholing but I think annuities appeal to women more that men...it&apos;s the surety and safety over the risk and dynamics (read: worrisomeness) of the Market. I&apos;m thinking (like you) a fractional amount of my overall portfolio for an annuity, coupled with pension and social security -- the remaining is &quot;legacy&quot; funds -- children, charities -- let it fluctuate, I will still be OK.

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• CH

  @chris.pearson · 2 weeks ago

  Was at B&amp;N yesterday to get my copy of The Forever Paycheck. One chapter in &amp; ❤️ it! 📖 📕

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• BR

  @brenthumason9347 · 2 weeks ago

  She was not fair in her argument against annuities. &nbsp;The biggest risk for annuities is inflation. &nbsp;The so called “guarantee”, is really a guarantee to be hurt by inflation. &nbsp;She accounted for that by saying to get an annuity instead of bonds, but she did not explain that inflation is why you cannot go 100% annuities.

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• MO

  @Moi1962-x9w · 2 weeks ago

  It only keeps coming if that insurance company remains solvent. In the US, a company can be very successful and it can fail. Low risk..but if this happens, devastating consequences. Not as easy as Jean presents it.

  6