Morningstar recently published its annual state of retirement income research report. This year's

report concludes that the highest safe starting withdrawal rate for retirees is 3.7% over a 30-year

time frame. In other words, if you have a $1 million nest egg, the report suggests that you could

safely begin withdrawing $37,000 per year and then

adjust it annually for inflation throughout your retirement. This safe withdrawal rate number is

slightly down from 4% in last year's report, primarily due to higher equity valuations and

lower fixed income yields, which have reduced Morningstar's expected returns

for stocks, bonds, and cash over the next three decades. If a 3.7% withdrawal rate seems

unreasonably low, you're not alone. In fact, the creator of the famous 4% rule is on

record saying that his own rule is likely to conservative

and personally adjusted his withdrawal rate to 4.7%.

So what is an appropriate withdrawal rate?

How do you determine what's best for you?

And what if an investor needs more income than what the popular rules allow for?

Welcome to the Stay Wealthy podcast. I'm your host Taylor Schulte, and today I'm diving into

retirement withdrawal rates, sharing key takeaways from the recent Morningstar report,

and providing three strategies for boosting your retirement income.

To view the research and articles supporting today's episode,

just head over to you staywealthy.com forward slash 238.

To set the stage, let's dissect Morning Stars 3.7% safe withdrawal rate number.

If you dive into the fine print of the report,

you'll find that this

...