James, I've never met anyone who is really not worried about running out of money.

And I've also never met anyone who's going, I cannot wait to die with $100 million.

And this episode that we're going to talk about today was prompted by a listener question

who said, the thought of running out of money late in retirement, that will trigger anxiety.

I'm a human.

Ending up with many millions may also cause regret because of the thoughts of I should have, I could have. The key is finding the right balance. How do we think about that? That's all about today. It's all about today. And before people start thinking that's an absurd range of outcomes, because that's enormous. You either run out of money or you die with, you said 100 million, let's just say many millions.

That's not that uncommon for people that might be entering retirement with a couple of few

million dollars, especially if they're entering retirement on the earlier side to run some

projections, see what they're headed for, and show them that unless we start

spending and start doing some stuff, you very well could have four, five, six, ten times,

a lot more money at the end of retirement than you do going into retirement. How do we find

that tradeoff? Don't spend so much that you run out, but don't spend so

little that one day you wake up and say, man, I really wish there was more that I would have done

with some of this when I could have. Whenever this conversation begins, I will start with

compound interest and explaining this rule of 72. And so if you have two million

dollars in your 50 listening to this right now, or you have a million dollars in your 40,

you're going to use a basic calculator of some sort and you're going to see how quick is my money

going to grow. And so the cool thing about this rule, which is the same thing as compound interest that all of you have heard, many of you, should I say.

If you take 72 and you divide that by 7.2, which is a rate of return, that's basically going to tell you how long it will take for your money to double.

So if we knew our money would double every 10 years, now this is without getting

into withdrawal strategy and things that we'll talk about today, well, if you're 50, you have

$2 million, and when you're 60, you might have $4 million. When you're 70, you might have eight,

...