FIRE Number Calculator

The 4% rule is a guideline for determining how much you can safely withdraw from your retirement savings each year without running out of money. It's based on a study that found that retirees who withdrew 4% of their portfolio annually (adjusted for inflation) had a 95% success rate over 30-year periods.

To calculate your FIRE Number using the 4% rule: FIRE Number = Annual Expenses ÷ 0.04. For example, $50,000 in annual expenses requires a $1,250,000 portfolio.

The amount you need depends on your desired lifestyle (FIRE type) and annual expenses. Use the formula:

• Lean FIRE: (Annual Expenses × 0.75) ÷ 0.04
• Standard FIRE: Annual Expenses ÷ 0.04
• Fat FIRE: (Annual Expenses × 1.5) ÷ 0.04

For example, with $50,000 annual spending: Lean FIRE = $937,500, Standard FIRE = $1,250,000, Fat FIRE = $1,875,000. Use our calculator above to find your specific number based on your situation.

Coast FIRE means you've saved enough that compound growth will get you to FIRE by retirement age, even if you stop contributing today. You calculate your Coast Number and once you reach it, you can "coast" without new savings.

Barista FIRE means you work part-time to cover current expenses while your investments grow. Your part-time income reduces or eliminates the need to withdraw from investments, allowing them to compound longer.

Coast FIRE requires more upfront savings but no ongoing work. Barista FIRE requires less savings but ongoing part-time income.

Yes! Our calculator accounts for inflation by using your real return rate (investment return minus inflation). This ensures your FIRE Number maintains purchasing power over time.

For example, if you earn 10% on investments but inflation is 3%, your real return is 7%. The calculator uses this 7% to project your future wealth in today's dollars, so $1 million in 30 years will have the same purchasing power as $1 million today.

The chart shows three scenarios (optimistic, baseline, conservative) to help you plan for market uncertainty and ensure your FIRE plan is resilient.

Your financial independence number is calculated by dividing your annual retirement expenses by your safe withdrawal rate (typically 4%):

FI Number = Annual Expenses ÷ Safe Withdrawal Rate

For example, if you plan to spend $60,000 per year in retirement: $60,000 ÷ 0.04 = $1,500,000. This is the amount you need invested to be financially independent.

Different FIRE types adjust this formula: Lean FIRE uses 75% of expenses, Coast FIRE calculates a lower target based on time until retirement, Barista FIRE accounts for part-time income, and Fat FIRE uses 1.5-2x expenses. Use our calculator to find your number.

A common benchmark is having saved 2x your annual salary by age 35 and 4x by age 40. However, your specific target depends on your expenses, retirement age, and desired lifestyle.

Use our calculator to input your current age, target retirement age, and annual expenses. It will show you exactly how much you need based on your timeline and whether you're on track.

Remember: Coast FIRE requires less than full FIRE if you have a long time horizon, while Barista FIRE may be achievable earlier if you can work part-time. Compare all four approaches to find what works for you.

Our FIRE calculator uses established financial formulas and accounts for inflation, investment returns, and fees. However, no calculator can predict the future with certainty. Here's how to use it effectively:

• Use conservative estimates: Assume 7-8% returns, not 10-12%
• Run multiple scenarios: Compare optimistic, baseline, and conservative cases
• Review annually: Update your calculations as your situation changes
• Buffer for safety: Aim for 10-20% more than your calculated number

The calculator provides a starting point for planning, but consider working with a financial advisor for personalized advice tailored to your specific situation.