Free FIRE Calculator
Calculate your path to Financial Independence, Retire Early (FIRE). Find your FI number, required savings rate, and years until you can retire on your terms.
FIRE Calculator
Calculate your path to Financial Independence, Retire Early
FIRE Details
4% Rule: Withdraw 4% annually from your portfolio for a 30+ year retirement with high success rate.
📚 FIRE Movement Guide
💰 What is FIRE?
FIRE = Financial Independence, Retire Early. Save aggressively (50-70% of income), invest in index funds, and retire in 10-20 years instead of 40. Live off investment returns (4% rule) without needing a job.
Goal: Freedom to choose how you spend your time, not forced to work for money.
📊 The 4% Rule
Withdraw 4% of your portfolio annually in retirement, and it should last 30+ years. Need $40K/year? Your FI number = $40K ÷ 0.04 = $1M. Based on historical stock/bond returns (Trinity Study).
Conservative: Use 3-3.5% for early retirement (40+ year horizon).
🏛️ Savings Rate Impact
Savings rate determines years to FI. 10% saved = 51 years to FI. 25% = 32 years. 50% = 17 years. 70% = 8.5 years! Higher savings rate = exponentially faster FI. It's math, not magic.
Key insight: Cutting expenses has double impact—save more AND need less in retirement.
💡 Investment Returns
FIRE relies on stock market returns (7-10% historically). Most use low-cost index funds (VTSAX, VTI). $1K/month at 8% return = $1.5M in 30 years. Compound interest does the heavy lifting.
Strategy: 80-100% stocks while accumulating, shift to 60/40 stocks/bonds near FI.
📈 Coast FIRE vs Lean FIRE
Lean FIRE: Retire on $25K-$40K/year (frugal lifestyle). Regular FIRE: $40K-$80K/year. Fat FIRE: $100K+/year (comfortable). Coast FIRE: Save enough early, then coast (work part-time, investments grow to FI by 65).
Choose based on: Lifestyle preferences and risk tolerance.
✅ Achieving Financial Independence
Steps: (1) Track expenses, (2) Increase income (side hustles, career growth), (3) Cut unnecessary spending, (4) Invest 50-70% of income in index funds, (5) Optimize taxes (401k, HSA, Roth), (6) Stay consistent for 10-20 years.
Reality: FIRE requires discipline, but it's achievable for middle-income earners.
How to Use This FIRE Calculator
Enter Current Financial Situation
Input current age, annual expenses, current savings, and annual income.
Set Savings Rate & Return
Enter percentage of income you can save and expected investment return (7-8% typical).
Review FI Timeline
See your FI number, years to retirement, and required savings rate to hit your goal.
Frequently Asked Questions
What does FIRE mean?
FIRE stands for Financial Independence, Retire Early. It's a movement focused on saving and investing aggressively (typically 50-70% of income) to retire in 10-20 years instead of the traditional 40-year career. The goal is to accumulate enough wealth that investment returns cover your living expenses, giving you the freedom to choose how you spend your time without needing to work for money. FIRE isn't necessarily about never working again—it's about having the option to work on your own terms.
How much do I need to retire early?
Your FI number = Annual expenses × 25 (based on the 4% rule). If you need $40,000/year in retirement, you need $1 million ($40K ÷ 0.04). If you need $60K/year, you need $1.5 million. This assumes you can safely withdraw 4% of your portfolio annually without running out of money. For early retirement (40+ year horizon), consider using 3-3.5% withdrawal rate, which means 28-33× annual expenses. The less you spend, the less you need to save.
What is the 4% rule?
The 4% rule states that you can withdraw 4% of your portfolio in year 1 of retirement, adjust for inflation each year, and your money should last 30+ years based on historical stock/bond returns (Trinity Study). Example: $1M portfolio → withdraw $40K year 1, $41.2K year 2 (with 3% inflation), etc. For early retirement (40+ years), use 3-3.5% to be safer. The rule assumes a 60/40 or 75/25 stock/bond allocation and rebalancing annually.
How can I achieve FIRE faster?
(1) Increase savings rate—every 10% increase cuts years to FI significantly. (2) Boost income through career growth, side hustles, or business. (3) Cut expenses—lower spending means less needed for FI. (4) Invest in low-cost index funds (VTSAX, VTI) for 7-10% returns. (5) Optimize taxes with 401(k), HSA, Roth conversions. (6) Avoid lifestyle inflation when income rises. (7) Consider geo-arbitrage (live in low-cost area). Savings rate is the biggest lever—50% savings = 17 years to FI, 70% = 8.5 years.