Early Retirement / FIRE Calculator

Enter your annual income, annual savings, annual expenses, and current portfolio value to find out when you can reach Financial Independence and Retire Early (FIRE). Adjust your investment return rate and withdrawal rate to see how your savings rate determines your path to early retirement — your FIRE number, years to retirement, and monthly breakdown are all calculated for you.

$

Your take-home annual income after taxes.

$

Total annual spending. Assumed equal to retirement expenses.

$

The total value of your current investments and savings.

%

Expected real annual return after taxes and inflation (typically 5–8%).

%

The % of your portfolio you withdraw annually in retirement. The classic 'Rule of 25' uses 4%.

Results

Years to FIRE

--

Your FIRE Number

--

Savings Rate

--

Annual Savings

--

Monthly Savings

--

Monthly Expenses

--

Portfolio Growth to FIRE

Results Table

Frequently Asked Questions

What is the FIRE movement and what does FIRE stand for?

FIRE stands for Financial Independence, Retire Early. It's a movement centered on saving and investing aggressively — often 50–70% of income — so you can accumulate enough wealth to live off investment returns and retire far earlier than the traditional age 65. The goal is financial freedom, not necessarily stopping all work.

What is the '4% rule' and the 'Rule of 25'?

The 4% rule (also called the safe withdrawal rate) states you can withdraw 4% of your portfolio each year in retirement without running out of money over a 30-year period. The Rule of 25 is the flip side: multiply your annual expenses by 25 to find your FIRE number — the portfolio size needed to retire. For example, $40,000/year in expenses means a $1,000,000 FIRE target.

Why is savings rate more important than investment return?

Your savings rate has a much larger short-term impact on time to retirement than your return on investment. A higher savings rate both increases the money you invest AND reduces the nest egg you need (since lower expenses require a smaller FIRE number). Small improvements in savings rate can cut years off your retirement timeline.

What annual return on investment should I use?

Most FIRE calculators use a real (inflation-adjusted) return of 5–7% for diversified index fund portfolios. The US stock market has historically returned about 10% nominally, or roughly 7% after inflation. Using a conservative figure like 5–6% builds in a safety margin for market downturns.

Does this calculator assume I draw down my principal in retirement?

No. This calculator assumes you never draw down the principal — only living off the investment returns generated by your portfolio each year at your specified withdrawal rate. Your net worth remains intact, which is a conservative and common FIRE assumption.

What if my retirement expenses are different from my current expenses?

This calculator assumes your current annual expenses equal your retirement expenses. If you plan to spend more or less in retirement — for example, no mortgage or extra travel — adjust your annual expenses input to reflect your anticipated retirement spending for the most accurate FIRE number.

How does my current portfolio value affect my retirement date?

Starting with a larger portfolio dramatically reduces your years to FIRE because compounding works on a bigger base immediately. Even an existing $50,000 portfolio can shave years off your timeline compared to starting from zero, because that money grows alongside your new contributions every year.

What are the different types of FIRE?

Common FIRE variants include LeanFIRE (retiring on a very frugal budget, often under $40k/year), FatFIRE (retiring with a larger lifestyle budget, $100k+/year), BaristaFIRE (partially retiring with part-time work to cover some expenses), and CoastFIRE (saving enough early so compounding alone reaches your FIRE number by traditional retirement age without further contributions).

More Finance Tools