In Retirement

LARRY ELLISON, THE 81-YEAR-OLD cofounder of Oracle Corporation, recently became the world’s wealthiest person.
Oracle, a software company, isn’t nearly as large as its peers. So how did Ellison’s net worth manage to surpass that of Bill Gates, Jeff Bezos and the founders of other much larger companies?
The answer is simple: In the nearly 50 years since Oracle’s founding, Ellison has almost never sold a share of his company’s stock. According to an analysis by Smart Insider,

Ah, retirement. That grand, glorious moment when I traded the frantic pace of business ownership for… well, for whatever mischief I could inflict on my wife Suzie. I don’t like spreadsheets, the temptation to take a stab in the dark when your spreadsheet adverse is strong.
It’s easy to do, isn’t it? You look at your savings, you subtract a few zeros, and you just decide—right there, in a sudden burst of confidence—that you can safely withdraw,

The purpose of this post is simply to illustrate that the world of retirement planning and living is vastly different than that of many, if not most, in the HumbleDollar community of writers and readers. No judgement intended.
While we debate, saving, budgets, annuities, investment and withdrawal strategies, the real world, doesn’t or can’t save or invest adequately let alone accumulate wealth. 
According to the Federal Reserve, the median retirement savings for individuals age 55-64 is $185,000 and the average $537,560.

I realize we touched this topic before, but I just watched a YouTube video where the “expert” debunked the 4% rule. His criticism was simply that is not how people spend money. He said nobody lives on the percent they withdraw giving the example that if a person had $1,000,000 and took $40,000 they may need more money for unexpected spending. Thus they will take extra from the $1,000,000 
That’s like saying nobody can live on a pension or salary for that matter because they may need more money. 

https://ofdollarsanddata.com/why-the-5-rule-is-the-new-4-rule/
An additional take on Bergen’s new book and data, which I posted about 6-8 weeks ago.
Nothing for me to add except Nick is a smart guy,  and the table in the article is pretty compelling.

It’s easy to learn the inflation rate, it’s published monthly, generally the CPI- W applicable to retirees. But what really counts is your individual rate because you may or may not be affected by the components of the index.
Years ago I signed up for and received my individual monthly inflation rate – based on a questionnaire- from the Federal Reserve. Then the message just stopped coming.
In any case, it might be interesting to build your own inflation rate based on what items mostly apply to you
For example,

I read now on HD concern for the 4% withdrawal strategy, potential – inevitable – market declines, the lack of COLAs in pensions (mine included) and annuities, asset allocation, general concern about preserving life-long retirement income and more. All of which is clearly justified.
I have said many times and been criticized as often, that the key to a secure retirement is a strategy that provides more steady income than one thinks they need based on pre-retirement income and lifestyle.

I ran my own business for nearly 30 years. It had a multimillion-dollar turnover with multiple income streams and complex timing around incoming and outgoing payments. Managing this intricate system required meticulous budgeting and continuous use of spreadsheets and accounting software—exactly what you’d expect from a well-run business.
I’m now retired, and in stark contrast to my business experience, on the domestic side of finances my wife Suzie and I don’t operate on a detailed budget per se.

The 4% rule (or is it 4.7% now?) is supposed to be a simple way to figure out how much you can safely withdraw each year, but I’m curious – do HD members really follow it?
While it’s a decent projection, I imagine there are plenty of circumstances where a fixed percentage needs updating – health expenses, market swings, helping family, inflation surprises, or even big life events like moving or starting a new chapter you hadn’t planned for.

I know I and many others mockingly complain in a joking manner about our grandkids costing us a “fortune” when they visit—but with no malice intended, did you actually consider these costs when crafting your retirement spending plan?
I certainly never thought about this; it didn’t even cross my mind. Maybe I’m being too generous, or perhaps I’ve had a run of bad luck. In recent months, my granddaughter dropped an iPad, requiring a replacement, and my grandson accidentally let a toy car slip from his hand while spinning around,

(Full disclosure: I used AI to help me write specific comments since I started writing them before I was fully awake)
My comment to Mr. Quinn’s very popular piece (8/22/2025) on Social Security appears below. It might even continue his discussion on a topic that affects all of us who are US citizens.
As a small business, in the late 1970s, we converted over to a 401(k) plan as a means to provide our employees with a way to save for their own retirement.

A recent post on the Forum raised the issue of dealing with a cut in Social Security benefits – hopefully an unlikely or very temporary event. However, something still worth planning for. 
If the status of SS is not fixed, around 2033 benefits could be reduced by 23-24%. The Committee for a Responsible Federal Budget projects a 24% cut by late 2032 for retirees, equating to an $18,100 annual reduction for a typical dual-earning couple retiring in 2033.

I might be hitting my head against a brick wall, but it’s a rather poor show that “RDQ” gets all the down arrow glory and doesn’t share. Maybe I need a few arrows with this doozy of a post.
Let me roll out my pre-retirement risk credentials. I quit a corporate job when I reached the level of director, with lots of stock purchase opportunities, a high salary, and a solid pension package. I left all that to start my own business—a very risky move,

Almost four years ago I wrote an article about the 2020 OASDI Beneficiaries by State and County report. The report is put out by the Social Security Administration (SSA), and provides a wealth of interesting statistics. Here is the link to the 2024 report where you can investigate detailed national and local data.
Here are some basic numbers for context. As of December 2020, the U.S. population was 329,484,123. Four year later it had grown 3.5%,

I say it does, but that does not stop it from being attacked. The words Ponzi Scheme are being thrown about. The fact it is underfunded is being used as a argument that it doesn’t work. Some in government are calling for it to be replaced with private accounts.  I read one official say there is plenty of money to pay all the benefits to those now collecting, but we can’t continue. Well, that’s not true on either point.