Another way to look at the wealth depletion concept using two spend rules and charting real consumption

The assumptions here piggyback on the last post (The Wealth Depletion Time EDULC Simulator is live!). Here I wanted to see what real spending looks like in the sim.  To do this I borrowed the data from the last post and plotted the first 1000 iterations of the simulation, a simulation that was run once with a constant 4% spend and a second time with an age based pct of portfolio rule not all that different from RMD.  No annuitization is assumed. 


1. This is real spending for the first 1000 paths of a constant spend sim.  Not surprisingly all the paths overlap while the ones that run out of money drop out and fall to available income (SS).

2. This is real spending for the first 1000 paths of a variable age based spend sim (follow link above for explanation).  Not surprisingly there are no fall-out snaps because we are working with a percentage rule though it is not out of the question because of some quirks in the code. I just wanted to see what it looks like and how wide the dispersion was visually along with how rough the year to year changes.  I made no attempt in this post to measure the dispersion or year over year vol.  Just looking. And yes, I realize this is one hot mess of a chart...

Conclusions?

No idea really. I'd be curious of a reader's reaction.  Frankly the second chart mostly just looks like an option where the "premium" of lower upfront consumption (as well as putting half of one's lifestyle at risk over time) in exchange for upside consumption potential and lower risk of being forced to SS looks like it might be a deal worth exploring.