It’s likely that the $4M has some rate of return, meaning that you could do this on a bit less. Well, as long as the return exceeded the increase in median income each year. You don’t want the capital to run out before you.
You’re spot on. It also assumes one wants to maintain a particular lifestyle. If those interested in living on passive income can adjust their lifestyle more simply, or choose lower CoL locations (SE Asia, for example) dollars can go quite far.
![Inner Peace [SMBC]](https://lemmy.world/pictrs/image/d4a98660-5ee8-4d4d-b915-187d36f58080.png){kind=link}
These sorts of calculations always do my head in.
It’s likely that the $4M has some rate of return, meaning that you could do this on a bit less. Well, as long as the return exceeded the increase in median income each year. You don’t want the capital to run out before you.
You’re spot on. It also assumes one wants to maintain a particular lifestyle. If those interested in living on passive income can adjust their lifestyle more simply, or choose lower CoL locations (SE Asia, for example) dollars can go quite far.