FIRE / 4% Rule Calculator
Calculate your Financial Independence number and estimate how long it will take to reach retirement based on your spending.
- NOT FINANCIAL ADVICE
- EDUCATIONAL USE
- ESTIMATES ONLY
- BASED ON HISTORICAL WITHDRAWAL RATES
How much you plan to spend per year in retirement.
The standard 4% rule is common, but some prefer 3% or 3.5%.
Target portfolio size to sustain your lifestyle.
*Current potential monthly withdrawal based on your rate.
What is the FIRE Movement?
FIRE stands for **Financial Independence, Retire Early**. The core idea is to save and invest a significant portion of your income until your portfolio can generate enough passive income to cover your living expenses for the rest of your life.
The 4% Rule Explained
The 4% rule originated from the Trinity Study, which found that an investor could typically withdraw 4% of their initial portfolio value (adjusted for inflation each year) and have a very high probability of the money lasting at least 30 years.
Using this rule, your FIRE number is simply **25 times your annual expenses**. If you want a more conservative approach, you might use a 3% withdrawal rate, which would require a portfolio 33.3 times your annual expenses.