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246 sats \ 2 replies \ @Storyteller 7 Sep 2023 \ on: What amount of BTC would you feel comfortable retiring on? bitcoin
There is a calculation like this:
If you need 100.000 usd per year you need to multiply it by 25. So 2.5 million. The 25 is that you get 4% return on your investment.
If you are more bulish you multiply by 20. So 2 million usd.
That means your investment of 2.5 million is giving dividents of say 4% a year net after taxes. And you love out of these dividents only.
If you translate this into bitcoin, you need an investment of 2 million usd to be able to live on 100 K
If your bitcoin investment gives you a divident of 4%.
That can be an appreciation of say 8% per year and you eat 4% per year.
That means you need 66 bitcoin at a current price of 30.000.
If you wanted to retire today!
That is how I calculate it.
And that 100.000 usd would be the basket of goods and services you would want to buy today till your retirement.
Your lifestyle basket.
The most fiat brained BS nonsense imaginable 🤡🤡🤡
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Hey, great info. I'm aware of the 4% rule, however, I feel like it's losing its meaning since the inflation is high.
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