Calculate your financial independence number and see how long until you can retire early
Quick Answer:Your FIRE number equals your annual expenses divided by your safe withdrawal rate (typically 4%). If you spend $50,000/year, you need $1,250,000 invested. With a 7% average return and consistent savings, most people can achieve FIRE in 10-20 years.
Your FIRE Number
Calculating... target nest egg
Years to FIRE
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FIRE Age
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Gap to FIRE
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Coast FIRE Number
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Monthly Savings Needed
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Progress
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In 2026, the FIRE movement has evolved beyond the simple 4% rule. Consider a "variable withdrawal" strategy: withdraw 3.5% in down markets and up to 5% in strong markets. Also factor in healthcare costs before Medicare eligibility (age 65), which can run $500-1,500/month per person. Many FIRE achievers maintain a small income stream ("barista FIRE") to cover health insurance and reduce sequence-of-returns risk in the early retirement years.
Your FIRE number is the amount of money you need invested to live off investment returns indefinitely. It is calculated by dividing your annual expenses by your safe withdrawal rate (typically 4%). For example, if you spend $40,000 per year, your FIRE number is $40,000 / 0.04 = $1,000,000. This is based on the Trinity Study which found that a 4% withdrawal rate has historically sustained a portfolio for 30+ years.
Coast FIRE is the point where your current savings, if left to grow without additional contributions, will reach your FIRE number by your target retirement age through compound growth alone. Once you reach Coast FIRE, you only need to earn enough to cover current expenses without saving additional money for retirement. It provides a psychological milestone on the path to full FIRE.
The 4% rule remains a useful guideline in 2026, though some financial planners suggest using 3.5% for more conservative planning, especially for early retirees with 40-50 year horizons. Recent research suggests that flexible withdrawal strategies, where you reduce spending slightly in down markets, can support withdrawal rates of 4-5%. The key is having flexibility in your spending.