FIRE (Financial Independence) Calculator
Determine your numbers for early retirement. This tool calculates standard FIRE milestones, minimal survival requirements (Lean FIRE), abundant spending goals (Fat FIRE), and Coast FIRE targets. Customize age metrics, savings speed, and market gains to see your compound interest projection year-by-year.
Retirement Age Projection
Year-By-Year Projections (Inflation-Adjusted Real Value)
| Age | Annual Savings | Interest Earned | End of Year Net Worth | Status |
|---|
💡 Pro Planning Insights
- Focus on Savings Rate: Your FIRE date is entirely determined by your savings rate, not your salary. Saving 50% of your net salary means you earn 1 year of freedom for every 1 year worked.
- Adjusting for Inflation: This calculator defaults to expressing future values in **today's purchasing power** by using real rates (Nominal Rate minus Inflation). This helps you plan using familiar prices.
- Safe Withdrawal Rate: When evaluating retirement portfolio viability, the baseline SWR of 4% assumes a 30-year span. For retirement durations exceeding 40 years, modern planners recommend a more conservative SWR of 3% to 3.5%.
Understanding FIRE milestones
Finding your path to early retirement requires parsing different benchmarks. Standard FIRE calculations assume you need a lump sum equal to 25 times your annual living expenses. However, you do not have to wait until you hit your final milestone to gain flexibility. Reaching **Coast FIRE** signifies that your current savings, when left untouched to compound over time, will reach your final target by age 60 without requiring additional savings. Knowing you have hit this target allows you to take lower-paying but more meaningful work, work part-time, or take career sabbaticals since you only need to cover your current expenses.
Related Guide: Learn more about early retirement (FIRE)
⚠️ Common Mistakes to Avoid
- Ignoring inflation: Over a 30-year horizon, inflation significantly erodes purchasing power. A flat expense model will fall short.
- Overestimating historical return rates: Assuming a permanent 12% real return is dangerous. Use a conservative 6-8% real rate for safer planning.
- Underestimating safe withdrawal rate: A 4% rate is a historical baseline, but high valuations or long retirements (40+ years) may require a 3-3.5% rate.
Frequently asked questions
What is the 4% rule?
The 4% rule suggests you can safely withdraw 4% of your initial retirement portfolio in the first year, adjusting that amount for inflation each year after, with a high probability that your money will last 30 years.
What is Coast FIRE?
Coast FIRE is when you have already saved enough in your retirement accounts that, without adding another penny, compounding interest will grow the balance to support your target retirement age.
What is the difference between Lean FIRE and Fat FIRE?
Lean FIRE assumes a minimalist lifestyle with annual expenses below average (often under $40,000/year). Fat FIRE assumes an abundant lifestyle with higher-than-average living standards (often over $100,000/year).