Thoughts on Hebeler vs GK/VPW

RatDaddy
Posts: 7
Joined: Mon Oct 20, 2014 1:47 pm
Location: Eastern US

Re: Thoughts on Hebeler vs GK/VPW

Postby RatDaddy » Sat Nov 01, 2014 12:49 am

Bo-

Here's one of the BH posts regarding lower Autopilot WDs early in retirement.

http://www.bogleheads.org/forum/viewtopic.php?f=10&t=121269

Here's another.

http://www.bogleheads.org/forum/viewtopic.php?f=10&t=126102&newpost=1850241
You may be whatever you resolve to be.

RatDaddy
Posts: 7
Joined: Mon Oct 20, 2014 1:47 pm
Location: Eastern US

Re: Thoughts on Hebeler vs GK/VPW

Postby RatDaddy » Sat Nov 01, 2014 12:55 am

bo_knows wrote:Ahhh, I was confused because I was doing calculations from age 55. At age 45, you're right... G-K out-withdrawals Autopilot in the first 1/3 of retirement. Do you happen to have the bogleheads posts about it?

Personally, I like the "variable spending" method on cFIREsim using a ceiling and floor value.


I meant to say in my previous post that I share your opinion on this...using ceilings/floors. This 'guardrails' approach is one of the things I like about G-K because, it precludes dramatic fluctuations while also considering safety.

The first few cFIREsim scenarios I ran (both G-K and Autopilot) included floors (no ceilings) and seemed to perform as safely as the same scenarios without a floor. Go figure; but, nice to know.
You may be whatever you resolve to be.

User avatar
bo_knows
Site Admin
Posts: 660
Joined: Fri Jun 28, 2013 4:33 pm

Re: Thoughts on Hebeler vs GK/VPW

Postby bo_knows » Sat Nov 01, 2014 1:18 am

Yeah, I think that it's prudent for most upcoming retirees to take a hard look at their spending and seriously think about a "floor" value, to help simulate the future.

I like G-K, but my main hangup is that its WAY too complicated for the average person to understand. I'd much rather pick an easier-to-understand variable spending plan and toss on the guardrails.
-Bo (Creator and Admin for cFIREsim)

Siamond
Posts: 278
Joined: Wed Jul 31, 2013 9:24 pm

Re: Thoughts on Hebeler vs GK/VPW

Postby Siamond » Fri Jan 09, 2015 3:32 am

bo_knows wrote:Yeah, I think that it's prudent for most upcoming retirees to take a hard look at their spending and seriously think about a "floor" value, to help simulate the future.

I like G-K, but my main hangup is that its WAY too complicated for the average person to understand. I'd much rather pick an easier-to-understand variable spending plan and toss on the guardrails.

Yeah, but the guardrails are the key to G-K...

This is why I keep being convinced that it would be great to have a companion tool to cFIREsim, where you enter your key updated numbers at the end of the year, and it spits out the spend for the year to come according to your withdrawal method of choice (saving key parameters for the next round). Of course, assuming a beginning of the year math... ;)

coachz
Posts: 15
Joined: Sat May 31, 2014 5:01 pm

Re: Thoughts on Hebeler vs GK/VPW

Postby coachz » Thu May 12, 2016 12:52 pm

Can anyone explain the guyton klinger fields please ?

Exceeds
Cut
Fall
Raise
Spending Floor (inflation adjusted)
Spending Ceiling (inflation adjusted)

User avatar
bo_knows
Site Admin
Posts: 660
Joined: Fri Jun 28, 2013 4:33 pm

Re: Thoughts on Hebeler vs GK/VPW

Postby bo_knows » Thu May 12, 2016 4:47 pm

coachz wrote:Can anyone explain the guyton klinger fields please ?

Exceeds
Cut
Fall
Raise
Spending Floor (inflation adjusted)
Spending Ceiling (inflation adjusted)


The gist of it is that it changes your spending level based on whether the market goes up or down. For each scenario (market up / market down) there are 2 values: How much the market needs to go up before it alters your spending, then how much to alter the spending by. The Floor and Ceiling are just barriers that your spending cannot go lower or higher than.

Read more about it here: http://schulmerichandassoc.homestead.co ... ofiles.pdf
-Bo (Creator and Admin for cFIREsim)

coachz
Posts: 15
Joined: Sat May 31, 2014 5:01 pm

Re: Thoughts on Hebeler vs GK/VPW

Postby coachz » Thu May 12, 2016 4:56 pm

Thanks Bo. That's clear now. :P

coachz
Posts: 15
Joined: Sat May 31, 2014 5:01 pm

Re: Thoughts on Hebeler vs GK/VPW

Postby coachz » Thu May 12, 2016 5:08 pm



Return to “General Forum”

Who is online

Users browsing this forum: No registered users and 3 guests