My SWR rate for July was 37.58% compared to 34.39% in June. That is a step in the wrong direction, but it isn’t too surprising since I didn’t add to my savings during the month and the value of my stock investments declined. My goal is to get the SWR down to 4% so the lower my SWR is the better. That goal is probably many years from being met. The 4% SWR translates into having 25x your annual expenses in savings or 300 months of expenses in savings. Once I reach that point I will consider myself financially independent.
I have 31.92 months of living expenses saved down from 34.89 in June. This amount went down due to my stocks declining in value and my average monthly expense increasing due to my high expenses in July. I calculate my months of living expenses saved by dividing the average of my trailing twelve months of expenses by my total money saved. When I don’t add any money to my savings the only changes to my SWR and months of living expenses saved are from my investment performance and the average of my trailing twelve month’s of expenses going up or down.