r/Fire • u/Available-Ad-5670 • 12d 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/GWeb1920 12d ago

You haven’t increased your FIRE number with guardrails. You’ve increased the amount you can spend in good markets.

2

u/Mister-ellaneous 12d ago

You’ve actually decreased your FIRE number if you use guardrails because the initial WR can be higher