8+ years later I'm retired with a close to double-digit $million fortune. What an incredible experience it's been. Traded so many shitcoins I thought I would end up broke.
Congrats to everyone who made it.
Congrats. You should be able to live the rest of your life very comfortably even if nothing else happens from now. $5m invested in "safe" investments will return at least $200k per year on 4%. Your double digit fortune should probably and likely will triple or more in the years to come, if they are still in bitcoin.
I see people mention such high interest rate figures here but nothing seems "safe" to me except for perhaps a property portfolio and protected banks only pay 0.5% if you are lucky.
4% is the oft-considered SWR or Safe Withdrawal Rate. It's based on a study by some folks from Trinity University studying stock market returns and backtesting them over 30 year periods. They used historical data from 1926-2009 and tested various rolling periods (i.e. for 30-year retirements, they tested 1926-1955, 1927-1958, 1928-1957,…,1980-2009).
Basically, the 4% applies to a 60/40 equities/bonds ratio portfolio, typically the S&P 500 or the Total Stock Market Funds and bonds, typically all US. Some do global or international.
Here is a favorite calculator to play with:
https://firecalc.com/The default values there imply a 95% success rate starting with $750k and withdrawing $30k per year for 30 years.
Fantastic! Thanks man! Merit him I'm poor.