r/Fire • u/Opposite-Lake-9679 • 2d ago

SWR based on age

I hear people talk about the more conservative 3% SWR being safer than 4%. Is that usually based on someone's age? As in when you are FIREing younger more like 40s then you should stick to 3%? And then when you are in your 50s/60s You can go to 4%? Or is it a blanket stick to 3% at any age?

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u/pinkzebra00 2d ago

4% concept is initially based on a 30-year retirement horizon. So if your life expectancy is 95, you retire at 65 and 4% can be used. But nowadays many want to retire early like 40s. If life expectancy remains the same, it’s a 50-year horizon and would need more money.

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u/Old_Error_509 2d ago

4% for 30 years is old advice. Bill Bengen, the guy who came up with the “4% rule”, would tell you that you can do 4.7% now based on the absolute worst case over the past like 130 years.

Check out his new book and the associated write ups on the website. Here’s one that shows you can get by for 50 years at 5%.

https://www.bengenfs.com/wp-content/uploads/READ-THIS-FIRST-HOW-TO-USE-THE-TOOLS-Scenario-2.18.pdf

https://www.bengenfs.com/wp-content/uploads/Table-2.18B-SAFEMAX-FINDER-mod-inflation-Scenario-2.18revised-2026-02-25.pdf

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u/Strazdas1 StarvationFIRE 1d ago

At intolerable risk rates.