SWR milestone record

[ertyu]

Went to look at job ads for my home town; a casino dealer's starting salary would represent a 4.46% withdrawal rate on my current savings.

[unemployable]

I drew down $2119 in "principal" in 2022. This is to say, proceeds from selling assets that were used to pay expenses rather than be redeployed into other assets. It does not include dividend or rental income, nor does it include income that was reinvested into the same security (in my case, bond interest and dividends in retirement accounts).

So that's a "drawdown rate" of 0.3%.

I think a true "withdrawal rate" should include investment income not reinvested. Adding that back in I get about 1.6%. Adding back rental income (sublet, so not really an investment) gets me to about 2.1%. Maybe I'll do the math to the exact dollar if I'm bored.

One 2023 financial goal is to get that drawdown rate, the 0.3 figure, to zero.

[DutchGirl]

Went to look at job ads for my home town; a casino dealer's starting salary would represent a 4.46% withdrawal rate on my current savings.

You mean you could DealerFIRE?

[WFJ]

Rough estimates below and biased to the high side.

6/1/2016 2.5%
1/1/2018 1.5%
1/1/2019 2.5%
1/1/2020 1.0%
1/1/2021 0.8%
1/1/2022 0.6%
1/31/2023 0.75% (investments down 6% expenses up, mostly rent)

[Viktor K]

1/1/2021 - 301.7%
6/6/2021 - 128.7%
1/5/2022 - 42.8%
6/1/2022 - 27.9%
1/1/2023 - 20.5%

[Lemur]

12/01/2018 - 32.97% [$30,000 / $91,000]
04/30/2019 - 20.34% [$24,000 / $118,000]
05/22/2019 - 17.78% [$24,000 / $135,000]
11/12/2019 - 16.90% [$24,000 / $142,000]
04/30/2020 - 15.21% [$24,000 / $157,800]
08/06/2020 - 12.44% [$24,000 / $193,000]
12/02/2020 - 7.19% [$24,000 / $333,900]
01/01/2021 - 6.81% [$24,000 / $352,200]
07/03/2021 - 4.96% [$24,000 / $484,000]
02/04/2023 - 4.84% [$28,000 / $578,000]

Estimated Annualized Spending / Total Market Value of Investments.

Notes - I used my actual January 2023 spending and annualized it and rounded up to the nearest ten thousand for the 02/04/2023 estimate. Previous estimated spending were just ballpark estimates of where I hoped we'd be at. But reality is different. But good news is, not too far off from actual spending. Considering the inflation hasn't impacted us that much.

Think I'll update in 6 months and see where we're at.

[benrickert]

End 2018: 69%
End 2019: 31%
End 2020: 30%
End 2021: 18%
End 2022: 10%

Trajectory too comfortable. Progress mainly from higher income leading to higher savings rate, leading to increased capital base. Although salary increase from main job is nice as long as it doesn't come with increased slavery and golden handcuffs, focus should be on reducing base spend (housing, food, transportation) and acquiring ERE skills to set up more alternative income streams and being able to fix and make things myself.

[DutchGirl]

Trajectory too comfortable. Progress mainly from higher income leading to higher savings rate, leading to increased capital base. Although salary increase from main job is nice as long as (...), focus should be on reducing base spend (housing, food, transportation) and acquiring ERE skills

At least you'll have a lot of money, and thus a lot of time and options, to teach yourself more ERE skills? Getting out of golden handcuffs like Houdini might be the first skill you'll need to learn, with this career trajectory.

Well done on the progress!

[AlpineTR]

I'm still new around the forum, but I've been reading the blog since 2009. I thought I'd share my SWR, which I've been tracking since 2015.

2015 11.8%
2016 7.9%
2017 6.7%
2018 6.8%
2019 6.1%
2020 4.8%
2021 3.8%
2022 3.3%
2023 3.6%

The finance geek in me enjoys the convexity of the chart. The concave blips (2017 and 2022) correspond with significant life events. Had I avoided lifestyle inflation, my current SWR would be 2.0%. Goes to show what kids can do.

[IlliniDave]

Maybe this is not what is intended but my actual withdrawal rates have been

2021 (5 months) 0.00%
2022 0.00%
2023 (first 7 months) 0.00%

Historical accumulation era data

2013 7.53%
2014 10.08%
2015 5.64%
2016 4.80%
2017 4.33%
2018 4.21%
2019 4.41%
2020 3.55%
2021 2.50% (first 7 months)

Those numbers are based on actual spending during the year compared to stash balance during the same year. I never really reported them in this thread because my situation isn't straightforward due to having an annuity which would cover a substantial portion of my monthly expenses once retired (so far it's covered about 125%-130% of my actual spending while retired). I had estimates of what my retirement-long average withdrawal rate might be, and what I recall is that it was down to about 0.6% on the cusp of plug pulling (figured somewhat conservatively) assuming I lived to about 85.

[frugaldoc]

2023: 8.1% (almost a Dave Ramsey approved withdrawal rate)

[grundomatic]

end 2014 ~0 savings
end 2020 12.1%
end 2021 10.4%
end 2022 6.4%
end 2023 5.6%

[recal]

06/2018 -- 300%
09/2022 -- 9.09%

01/2024 -- 7.34%

[okumurahata]

End of:

2016 269%
2017 360%
2018 244%
2019 175%
2020 118%
2021 95%
2022 49%
2023 24%

[2Birds1Stone]

1/1/2011 - 120%
1/1/2012 - 80.0%
1/1/2013 - 58.5%
1/1/2014 - 36.7%
1/1/2015 - 20.7%
1/1/2016 - 14.4%
1/1/2017 - 8.8%
1/1/2018 - 6.4%
1/1/2019 - 4.2%
1/1/2020 - 3.2%
1/1/2021 - 1.3%
1/1/2022 - 2.6%
1/1/2023 - 2.3%
1/1/2024 - 1.6%

It's been a couple of years since I've updated this as I don't really track individual SWR after getting married.....

As a household we are somewhere around a 2-2.5% SWR these days.

[xmj]

Getting closer...

Date SWR
2017-12 36.00%
2018-12 38.00%
2019-12 34.00%
2020-12 17.00%
2021-12 13.18%
2022-06 13.84%
2022-12 13.58%
2023-07 10.93%
2023-12 8.12%

[jacob]

0.6%

[OTCW]

Below 1% for the first time. 0.96%.

[thef0x]

Q4 2023: 6.38% SWR

I need to cut monthly spending by 9.25% to get to 4% and frankly I know we have done it but I'm hesitant to use shorter increments than quarters.

2023
NW accumulation (excluding home appreciation): +30%
Income / expenses: 373%
Savings Rate: 75%

[thef0x]

Q1 2024:

SWR*: 3.37%

* Updating my internal calculations to include the current paid equity in my home b/c I'm including the mortgage in the expenses calculations. Also added my DWs assets to the calculation as we're a combined household.

* Q1 2024 has been bullish for RE and equities (large cap growth).