In this piece, we look at a 61 year old retiree who recently left behind a $145,000 salary. They have built a strong financial foundation, including nearly $2 million in a 401(k), healthy balances in other tax advantaged accounts, and a sizable amount of cash and CDs. With solid investments and plenty of liquidity, they appear to be well prepared for a long retirement.This post was updated on December 5th, 2025 to clarify the 4% rule's annual adjustments, as well as the conservative nature of a 3% withdrawa ...