variable spending strategies
Re the page Analysis > Run Analysis
from the manual on pg 115 : "…Controls are provided on the Run Analysis page for you to tell PRC whether to do its analysis using specified expenses or one of the variable spending strategies. These controls are located just beneath the large graph. The first control is a pull-down menu through which you select the method of choice….
If I was interested in following the Variable percentage withdrawal strategy described in this article,
am I correct that in PRC I should select "Fixed Percent spending"? If not then which one? The terms "fixed" & "variable" are confusing me. Thank you .
PRC Gold 2021, a rookie/beginner to both PRC & Excel
I looked over the Bogleheads article briefly and I don't think the VPW strategy corresponds to any of the strategies currently implemented in PRC. The term "fixed" means the withdrawal rate is a fixed percentage of the current portfolio value. The term "variable" seems to be a more complex approach that varies the withdrawal amount based on a number of factors (as described in the article).