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The week's question
In December 2024, in the thread "Re: BRK: Why Not XOM?", BreckHutHigh asked the members: "What about the long road trips with kids?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Personal Finance / Retirement Investing
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Author: sykesix   😊 😞
Number: of 1281 
Subject: Re: 100% Stocks
Date: 10/27/25 1:44 PM
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No. of Recommendations: 9
Keep in mind that every day is the first day of the rest of your life. Therefore every day is the beginning of a SOR Risk.

This is a misconception. SORR occurs in the first few years of the withdrawal phase. Starting from the basic assumption that the future is no worse than the past, if you don't experience a poor sequence of returns early in the period, then your portfolio will grow large enough by about year 10 that SORR doesn't matter. Assuming also that your WR remains the same, adjusted for inflation.

There is fundamentally only one way to mitigate SORR, and that's do what you do did: Start enough with enough money such that your WR rate is so low SOR doesn't matter. The trade off though is either working more years or having a lower standard of living in retirement. But that's essentially what the 4% rule is. A WR so low that SOR doesn't matter, again using the standard assumption.
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This community has written 1,207 posts about Retirement Investing. The article-length ones it recommended most:
The Case for Long-Term Buy and Hold Investing · 49 recs · 2025
Transferring assets to the next generation · 20 recs · 2025
Retirement Year 8 · 17 recs · 2025
(nearly) year one of retirement has been good · 11 recs · 2026
Buying Treasuries Via Vanguard · 10 recs · 2023
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