Why new retirees may need to rethink the 4% rule [CNBC]
Genworth Financial Inc (GNW)
Last genworth financial inc earnings: 10/29 05:10 pm
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Source: CNBC
Lower expectations for long-term stock, bond and cash returns means new retirees may need to proceed a bit more cautiously, according to Morningstar. There are ways retirees can be more flexible with their spending, experts said. A popular retirement strategy known as the 4% rule may need some recalibration for 2025 based on market conditions, according to new research. The 4% rule helps retirees determine how much money they can withdraw annually from their accounts and be relatively confident they won't run out of money over a 30-year retirement period. According to the strategy, retirees tap 4% of their nest egg the first year. For future withdrawals, they adjust the previous year's dollar figure upward for inflation. But that “safe” withdrawal rate declined to 3.7% in 2025, from 4% in 2024, due to long-term assumptions in the financial markets, according to Morningstar research More from Personal Finance: The best tax bracket for a Roth IRA conversion Senate plans
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GNW
Sec Filings
- 11/7/24 - Form 10-Q
- 11/6/24 - Form 8-K
- 10/29/24 - Form 13F-HR
- GNW's page on the SEC website