Calculate how much you need to achieve Financial Independence and Retire Early
What is FIRE?
FIRE (Financial Independence, Retire Early) is about saving enough that investment returns cover your living expenses. This lets you retire before the traditional age of 65, or simply work because you want to, not because you have to.
The Traditional FIRE Rule (And Why It Is Incomplete)
Most FIRE calculators tell you to save 25x your annual expenses (the 4% rule). This comes from the Trinity Study, which looked at 30-year retirements. Fine if you retire at 65 and plan to 95. Not fine if you retire at 35 and need money for 60 years.
A Note on Taxes
This calculator does not account for taxes. If you need $50,000 after taxes and you are in the 12% tax bracket, you actually need to withdraw about $57,000. If your money is in traditional 401k or IRA accounts, every dollar you withdraw is taxable income. Plan your desired income accordingly, or add 15-25% cushion to cover taxes.
Real Returns vs Inflation Adjustment
Real Returns (default): If the market returns 10% and inflation is 3%, your real return is 7%. Enter 7% and keep withdrawals flat. This is what most FIRE calculators assume.
Nominal Returns (advanced): Enter the actual market return (10%) and separately model inflation increasing your withdrawals each year. More accurate but requires understanding the difference between nominal and real returns.
1. Your Timeline
2. Income Needs
Start with your actual spending: FIRE is about covering your expenses, not matching your current income. Track what you actually spend monthly. That is your target, not what you earn.
3. Social Security (Optional)
4. Return Method
5. Strategy
Inflation already factored into return rate
Your FIRE Number
Timeline Analysis
Years Until FIRE
Your FIRE Age
Retirement Length
Years Before Traditional Retirement (65)
Traditional FIRE vs Reality
Traditional 25x Rule Would Say
Actual Need (For Your Timeline)
Difference
Income Breakdown
Desired Annual Spending
Social Security (annual)
Annual Portfolio Withdrawal
Implied Withdrawal Rate (year 1)
Required Portfolio
What This Means
Important Notes
FIRE assumes you live off investment returns without depleting principal. Requires significant savings and expense discipline. Most FIRE adherents save 50-70% of income to hit their number quickly. This is not a get-rich-quick scheme. It is aggressive saving combined with patient investing.
Social Security: This calculator assumes that once you claim Social Security, those benefits replace a portion of your monthly portfolio withdrawal dollar-for-dollar. If you need $6,800/month and receive $3,596 from Social Security, you only withdraw $3,204 from your portfolio after benefits start.
Taxes: This calculator does not account for taxes on withdrawals or Social Security benefits. If your money is in traditional 401k/IRA accounts, you will pay income tax on withdrawals. Social Security benefits may also be partially taxable depending on your total income. Your actual after-tax spending will be lower than the numbers shown here. Plan accordingly or consult a tax professional.
This calculator is for educational purposes only and is not financial advice. FIRE requires careful planning around healthcare, taxes, market volatility, and lifestyle sustainability. Many who pursue FIRE continue working in some capacity by choice. Consider consulting a financial advisor for personalized guidance.
