Plus ca change

Posted by Lee Eisenberg at 8:21 am on Saturday, August 29, 2009

I know I haven’t shown up here lately, as the new book, Shoptimism, has kept me more than busy enough. But this morning there is a story in the New York Times that prompted me to come out of Number-retirement. The piece examines the one rule regarded as universal truth in The Number, the Bill Bengen hypothesis that if, beginning as age 55, and your portfolio is allocated roughly 60-40 bonds to stocks, you can safely withdraw 4-5% of your nest egg without ever running out of money. The gist of the Times piece, obviously occasioned by the cataclysm of the past two years. In any event, guess what: the 4-5% rule still holds. Here’s the link to the piece: http://www.nytimes.com/2009/08/29/your-money/individual-retirement-account-iras/29money.html?pagewanted=2&ref=todayspaper