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How much money do you have after your mortgage is paid off, your kids have graduated from college, and you paid for your daughter’s wedding? Usually, not enough to retire comfortably. If by chance, you’re lucky enough to own a vacation home, it’s even more challenging.
No wonder advisors take a check and change firms as they enter the final chapter of their career. Most of them never consider Independence as a worthy option because they assume Wealth Creation and Independence are mutually exclusive.
Just the opposite is true, and that is precisely why Independence is the fastest-growing channel in wealth management today.
Maybe it’s time to rethink your options.
Postscript:
Many investment professionals believe the 4% Rule is flawed. I would agree, and a safer assumption is probably 3%.
*Non-Effective Tax Calculation
Paul Sullivan
Founder and Managing
Partner Wealth Management Independence
May 11, 2022
The 4% Rule
| Principal | Return | Gross | Tax | Net* |
| $1MM | 4% | $40k | 15% | $34k |
| $2MM | 4% | $80k | 15% | $68k |
| $3MM | 4% | $120k | 20% | $78k |
| $4MM | 4% | $160k | 20% | $128k |
| $5MM | 4% | $200k | 25% | $150k |
How much money do you have after your mortgage is paid off, your kids have graduated from college, and you paid for your daughter’s wedding? Usually, not enough to retire comfortably. If by chance, you’re lucky enough to own a vacation home, it’s even more challenging.
No wonder advisors take a check and change firms as they enter the final chapter of their career. Most of them never consider Independence as a worthy option because they assume Wealth Creation and Independence are mutually exclusive.
Just the opposite is true, and that is precisely why Independence is the fastest-growing channel in wealth management today.
Maybe it’s time to rethink your options.
Postscript:
Many investment professionals believe the 4% Rule is flawed. I would agree, and a safer assumption is probably 3%.
*Non-Effective Tax Calculation
Paul Sullivan
Founder and Managing
Partner Wealth Management Independence
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