Episode 120 - The 4% rule - A round peg in a square hole

The round peg & the square hole – the concept of amassing liquid capital and saving, living frugally, and having a ‘nest egg’ as some magical method for a life of leisure, quitting the 9-5 workforce and retiring, seems to be the dream sold to all of us by the financial services industry. But it doesn’t work in a world of inflation, out of control govt spending and an economy that only survives based on consumption. Yet this is the continual debate on whether this method works, particularly for those in the FIRE community.

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