•The Thesis: 'Die With Zero' optimizes for personal consumption utility.
•The Counter: 'Die With Income' optimizes for family legacy and security.
•The Strategy: A Perpetual Income Portfolio (Tier 2/3) that your children can inherit without ever needing to sell the principal.
•The Result: You don't leave them a pile of cash to blow. You leave them a salary for life.
Consumption vs. Stewardship
If your goal is to have the maximum number of jet ski rides before you die, then yes, spend your principal.
But if your goal is to ensure your grandchildren can go to college debt-free, or your children can take risks in their careers because they have a safety net, you need Capital Preservation.
The Dynasty Portfolio
You need assets that last 50+ years. Avoid Tier 4/5 (Derivatives) for this. They are too new and erode too much. Stick to Tier 2 (Dividend Growth).
The "Grandpa" Portfolio
• 50% VOO: The American Economy.
• 50% SCHD: Cash flow for the family.
If you leave $1M in SCHD, your heirs get $35,000/year adjusted for inflation forever. They never have to touch the $1M.