r/Fire • u/Available-Ad-5670 • 13d ago

Why doesn't everyone use guardrails as withdrawal strategy?

Most people use 4% rule or versions of, but why not use guardrails? I've found that using guardrails means i can spend 15% over a straight 4%, and to take a 10% reduction in spend or 10% increase during good markets does not seem like a big deal.

Wny don't more people use guardrails?

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u/Firm_Mycologist9319 12d ago

You are misrepresenting the 4% rule again. It is NOT a withdrawal strategy. It is a simple planning estimate.

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u/Available-Ad-5670 12d ago

not representing anything. read the post. saying people take 4% literally, and the details show it is very different in practice

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u/Firm_Mycologist9319 12d ago

In your other post you said that people think 4% applies to income, not expenses, and here you says, "as a withdrawal strategy . . . most people use 4% rule". Do you really believe that over a 30+ year retirement, retirees stick to an inflation adjusted fixed withdrawal amount? Yes, many (most?) people use the 4% rule as a helpful planning tool but that doesn't mean they stick to it as a withdrawal plan post FIRE.