Calculate your Financial Independence, Retire Early (FIRE) number. Find out how much you need and how long it will take based on your savings rate, expenses, and expected returns.
FIRE Number
$900k
Years to FIRE
16 yr
Savings Rate
40%
FIRE stands for Financial Independence, Retire Early. It's a movement focused on extreme savings and investment to achieve financial freedom much earlier than traditional retirement age. The core idea: once your investment portfolio can cover your annual expenses indefinitely, you're financially independent.
Your FIRE number is typically 25 times your annual expenses (based on the 4% safe withdrawal rate). If you spend $3,000 per month ($36,000 per year), your FIRE number is $900,000. Once your investments reach this amount, you can theoretically live off the returns without depleting your principal.
Your savings rate is the most powerful lever for reaching FIRE. At a 50% savings rate, you can retire in roughly 17 years regardless of income. At 70%, it drops to about 8.5 years. Increasing your savings rate by reducing expenses has a double effect — it lowers your FIRE number AND increases your monthly savings.
FIRE Number = (Monthly Expenses × 12) ÷ Safe Withdrawal Rate
This calculator computes your FIRE number based on your monthly expenses and a 4% safe withdrawal rate. It then projects your current portfolio forward using your monthly savings and expected investment returns to find when your portfolio crosses the FIRE number. The chart shows your portfolio growth with a reference line at your FIRE target.
With $3,000/month expenses, your FIRE number is $900,000. If you have $50,000 saved and invest $3,000/month at 7% return, you'd reach $900,000 in approximately 14 years. Reducing expenses by $500/month has a double effect: your FIRE number drops to $750,000 AND you save an extra $500/month, cutting the timeline to roughly 10 years.
Experiment with reducing your monthly expenses — every $100/month reduction lowers your FIRE number by $30,000 AND frees up $100/month in savings.
Try different return rates to stress-test your plan. If your timeline still works at 5% returns, it's robust against poor market conditions.
Your savings rate matters more than your income. A household earning $80,000 with a 60% savings rate reaches FIRE faster than one earning $200,000 with a 20% savings rate.
Consider Coast FIRE as a midpoint goal. Once your portfolio can grow to your FIRE number on its own (without further contributions), you only need to cover current expenses.