Calculate when you achieve financial independence
FIRE stands for Financial Independence, Retire Early โ a lifestyle movement aimed at achieving financial freedom and retiring decades before the traditional retirement age. Originated in the US in the 2010s and spread globally.
According to the famous Trinity Study, you can withdraw 4% annually from your retirement portfolio and sustain it for 30+ years. For example, with $1M, you can withdraw $40,000/year ($3,333/month) virtually indefinitely.
Your FIRE number is 25ร your annual expenses.
Lean FIRE: Minimalist retirement, target $500K-$700K.
Fat FIRE: Luxurious retirement, target $1.5M-$3M+.
Coast FIRE: Point where compound growth alone gets you there.
Barista FIRE: Semi-retirement with part-time work.