FIRE Calculator
Calculate your path to Financial Independence and early Retirement
Path to Financial Independence
Understanding FIRE
FIRE (Financial Independence, Retire Early) is about accumulating enough wealth that your investments can cover your living expenses indefinitely.
Why Use This Tool?
The path to financial independence is a marathon, not a sprint. This calculator helps you visualize how small changes in your savings rate or investment returns can dramatically accelerate your retirement date, giving you back years of your life.
The 4% Rule & Net Expenses
Your FIRE Number is based on the 'gap' your investments need to bridge. If you have other income sources in retirement, your required portfolio size decreases.
- FIRE Number = (Retirement Expenses - Retirement Income) x 25.
- Retirement Income includes Social Security, pensions, or real estate.
- If your passive income covers all expenses, you are already FIRE!
- All values shown are in today's dollars (inflation-adjusted).
Inflation & Real Returns
This calculator uses real (inflation-adjusted) returns to show results in today's purchasing power.
- Real Return = Nominal Return - Inflation Rate.
- 7% nominal return with 3% inflation = 4% real return.
- Your FIRE Number represents today's purchasing power.
- Historical stock returns average ~7% nominal, ~4% real.
Types of FIRE
Different FIRE approaches exist depending on your lifestyle goals and spending levels.
- Lean FIRE: Minimal lifestyle, ~$40k/year expenses.
- Regular FIRE: Moderate lifestyle, ~$60-80k/year.
- Fat FIRE: Comfortable lifestyle, $100k+/year.
- Coast FIRE: Save enough early, then let compounding work.
- Barista FIRE: Part-time work for healthcare/extras.
Savings Rate Matters Most
Your savings rate is the single biggest factor determining how quickly you reach FIRE.
- 10% savings rate: ~51 years to FIRE.
- 25% savings rate: ~32 years to FIRE.
- 50% savings rate: ~17 years to FIRE.
- 75% savings rate: ~7 years to FIRE.