FIRE Calculator
Calculate your Financial Independence number and how many years until you can retire early.
The 4% safe withdrawal rate comes from the Trinity Study (1998). It suggests you can withdraw 4% of your portfolio annually, adjusted for inflation, and your money will last 30+ years with high probability. Your FIRE number = Annual expenses ÷ 4% = $1.00M.
Frequently Asked Questions
What is the FIRE movement?
FIRE stands for Financial Independence, Retire Early. The movement centres on aggressively saving and investing — typically 50–70% of income — to accumulate enough wealth that investment returns cover living expenses indefinitely. This allows people to leave traditional employment far earlier than the conventional retirement age of 65, often in their 30s or 40s.
What is the FIRE number and how do I calculate it?
Your FIRE number is the total portfolio value at which you can retire. Standard formula: FIRE Number = Annual Expenses ÷ Safe Withdrawal Rate. Using the 4% rule: spending $50,000/year means FIRE Number = $50,000 ÷ 0.04 = $1,250,000. Once invested in a diversified portfolio, you can withdraw 4% annually (inflation-adjusted) with high historical probability of the money lasting 30+ years.
What is the 4% rule and is it still valid?
The 4% rule comes from the Trinity Study (1998), which found a 4% initial withdrawal rate (adjusted for inflation) had a high success rate over 30-year periods. For retirements lasting 40–50+ years, many FIRE practitioners use a more conservative 3–3.5% safe withdrawal rate. Your actual safe rate depends on asset allocation, market conditions at retirement, and spending flexibility.
What is the difference between Lean FIRE, Regular FIRE, and Fat FIRE?
Lean FIRE: retiring on a frugal budget under $40,000/year, requiring ~$1M. Regular FIRE: retiring comfortably at $50,000–$80,000/year. Fat FIRE: retiring with a generous lifestyle at $100,000+/year, requiring $2.5M–$3M+. Barista FIRE is a hybrid — retire from a high-stress career but do part-time work to cover some expenses.
How does my savings rate affect when I reach FIRE?
Savings rate is the single biggest lever. Saving 10% of income takes 40+ years. Saving 25% takes ~32 years. Saving 50% drops it to ~17 years. Saving 70% can get you there in under 9 years. A high savings rate simultaneously grows your nest egg faster and reduces the portfolio size needed (since you live on less).