The 4% rule suggests withdrawing 4% of your nest egg in the first year of retirement, adjusting for inflation. But this rule may not be suitable for those retiring early or late, or with a conservative portfolio unable to sustain a 4% withdrawal rate. Consider all income sources, including Social Security.

If you’re retiring in 2026, different income sources may be available, such as Social Security at 62. Manage your nest egg wisely, considering the 4% rule as a starting point. This rule can help savings last, but may not be ideal for everyone, especially those retiring early or late.

Retiring early may require savings to last longer than the 4% rule’s 30-year projection. If you expect a longer retirement due to health or family history, a smaller withdrawal rate may be more appropriate. Consider individual circumstances when deciding on a withdrawal strategy.

The 4% rule isn’t one-size-fits-all, especially for those retiring early or late. If you’ve delayed Social Security until 70, you may not need 30 years of savings. Adjust your withdrawal rate accordingly and consider a larger percentage withdrawal if it improves your quality of life.

If you’re risk-averse and have little invested in stocks, a 4% withdrawal rate may not be feasible. Lower withdrawal rates may be necessary for portfolios with higher cash and bond allocations. Consult a financial advisor to determine the best withdrawal strategy based on your specific situation.

Many Americans are behind on retirement savings, but little-known Social Security secrets could help boost income. Maximizing benefits can provide peace of mind in retirement. Learn more about these strategies and others by joining Stock Advisor for personalized retirement advice.

Read more at Yahoo Finance: 3 Signs You Shouldn’t Follow the 4% Rule in 2026