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FIRE Retirement Calculator

Free FIRE calculator: find your financial independence number with the 4% rule, see years to retirement, projected FIRE age, and safe withdrawal rate.

FIRE stands for Financial Independence, Retire Early. The core idea: build an investment portfolio large enough that a small annual withdrawal covers your living expenses forever.

**The 4% rule:** Research based on historical US market returns found that withdrawing 4% of your portfolio in the first year (adjusted for inflation after) was historically safe over 30 years. Your FIRE number is simply your annual expenses divided by 0.04.

**Who is this for?** People who want an early exit from the 9-to-5, plan a lean lifestyle, or just want the freedom to choose how they spend their time.

**How to use it:** Enter your age, current savings, monthly savings, expected return, retirement expenses, and withdrawal rate. The calculator projects your portfolio each year and tells you when it crosses your FIRE number.

$
$
7%
0.115
$
4%
18
Safe withdrawal rate = the share of your portfolio you withdraw each year in retirement. Research (Trinity Study) supports about 4% over 30 years: a higher rate lowers your target but raises the risk of running out (3% raises the target by ~33%, 5% lowers it by ~20%).
3%
010
Historical reference: US CPI has averaged about 3% over the long run (mostly 2%-4% in recent decades); many other economies are similar. Higher inflation lowers your real return and extends time to FIRE - 3% is a reasonable default.
Example
Example: FIRE at 30 with $50,000 Savings

Suppose you are 30, have $50,000 saved, save $2,000 monthly, and expect a 7% return (3% inflation, so about 3.9% real). If your retirement expenses are $50,000/year and you use a 4% withdrawal rate, your FIRE number is $1,250,000.

Results: With steady saving, your portfolio crosses $1.25M around age 57 - about 27 years to FIRE. Your current assets already generate roughly $167/month of passive income at the 4% rule.

Key Insight: Raising your savings rate has a double effect: you reach the target faster AND you need a smaller target because expenses fall.

Frequently Asked Questions

What is FIRE?

FIRE stands for Financial Independence, Retire Early. It is a movement focused on saving and investing aggressively so your portfolio can fund your lifestyle, giving you the option to stop working before traditional retirement age.

How does the 4% rule work?

The 4% rule says you can withdraw 4% of your portfolio in your first retirement year, then adjust for inflation each year. Research on historical US returns suggests this was sustainable over 30-year periods. Your FIRE number is annual expenses divided by 4%. Adjusting the rate changes the target directly: 3% raises it by about a third (more conservative), while 5% lowers it by 20% but increases the risk of running out.

How much money do I need to retire early?

Divide your expected annual retirement expenses by your safe withdrawal rate. For example, $40,000 of annual expenses at a 4% withdrawal rate needs a $1,000,000 portfolio. Lower expenses directly shrink your FIRE number.

How does inflation affect my FIRE plan?

The calculator converts your nominal return into a real return using the inflation rate, so targets and timelines reflect purchasing power. Ignoring inflation makes FIRE plans look easier than they really are. Historically, US CPI averaged about 3% (mostly 2%-4% in recent decades); 2%-3% is a reasonable long-term assumption.

Is FIRE realistic for me?

FIRE depends on your savings rate, return assumptions, and expenses. Lean FIRE (minimal spending), Fat FIRE (comfortable spending), and Barista FIRE (part-time work plus small portfolio) offer different levels of flexibility. Start by running your own numbers.

The 4% rule is a research-based planning guideline, not a guarantee. Actual returns, inflation, healthcare costs, and market sequence risk can change outcomes. Projections assume constant real returns. This tool is educational, not personalized financial advice.

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