FIRE Number Calculator
Calculate how much you need to retire early using the 25x rule
FIRE Number Calculator
Calculate how much money you need to achieve financial independence and retire early. Find your FIRE number using the 25x rule or custom withdrawal rates.
How much do you spend per year? (or expect to spend in retirement)
4% is standard (25x rule), 3-3.5% is conservative, 5% is aggressive
Total investments and retirement accounts
How much you save each month
7% is historical average
What is a FIRE Number?
Your FIRE number is the total amount of money you need invested to achieve financial independence and retire early. It's the portfolio size that generates enough passive income to cover all your expenses forever, without needing to work.
The most common method to calculate your FIRE number is the 25x Rule: multiply your annual expenses by 25. This is based on the 4% safe withdrawal rate from the Trinity Study, which showed that withdrawing 4% of your portfolio annually (adjusted for inflation) has a 95% success rate over 30+ years.
For example: If you spend $40,000 per year, your FIRE number is $40,000 × 25 = $1,000,000. Once you have $1 million invested, you can withdraw $40,000 annually (4%) to cover your expenses indefinitely.
How to Calculate Your FIRE Number
Step 1: Calculate Annual Expenses
Track all expenses for 3-6 months and multiply by 12. Include: housing, food, transportation, insurance, entertainment, healthcare, travel, etc. Don't include: mortgage if it'll be paid off, work expenses you won't have in retirement.
Step 2: Choose Withdrawal Rate
- •4% (Standard): 25x annual expenses - based on Trinity Study
- •3-3.5% (Conservative): 28-33x annual expenses - extra safety buffer
- •5% (Aggressive): 20x annual expenses - higher risk
Step 3: Apply the Formula
Example: $40,000 ÷ 0.04 = $1,000,000
FIRE Number by Savings Rate
| Savings Rate | Years to FIRE | Example ($60K income) |
|---|---|---|
| 10% | 51 years | Save $6K/year |
| 25% | 32 years | Save $15K/year |
| 50% | 17 years | Save $30K/year |
| 60% | 12.5 years | Save $36K/year |
| 70% | 8.5 years | Save $42K/year |
Frequently Asked Questions
Everything you need to know about this tool