Useful next calculations
When to use this calculator
- Before choosing between saving, investing or changing a contribution.
- When you want to compare cautious, base and optimistic return assumptions.
- When you need a projection before making a longer-term decision.
- When you want to see whether starting earlier or contributing more changes the outcome more.
A worked example
These are the example figures the calculator opens with.
| Input | Value |
|---|---|
| Your Current Age | 30 |
| Current Savings & Investments ($) | $0 |
| Annual Income ($) | $80,000 |
| Annual Expenses ($) | $50,000 |
For those figures the calculator returns:
- FIRE number: $1,250,000.00
- Years to FIRE: 22.00
- FIRE age: 52.00
- Savings rate: 30.00%
- Current progress: 0.00%
Method & assumptions
This calculator models your path to Financial Independence, Retire Early (FIRE) using a year-by-year compound growth simulation. Starting from your current savings balance, it adds your annual savings each year and applies your expected investment return until your portfolio reaches your FIRE number — defined as annual expenses divided by your safe withdrawal rate. The widely cited 4% rule, derived from the Trinity Study using historical US stock and bond data, suggests that a 25x expenses portfolio has historically survived 30-plus-year retirements. Many early retirees in the US choose a lower rate of 3% to 3.5% given longer time horizons and healthcare costs before Medicare eligibility at age 65.
The calculator does not account for taxes on investment withdrawals, inflation eroding purchasing power, Social Security income, or variable market returns. A 7% default return reflects approximate long-run US equity market performance after inflation. Your actual savings rate is calculated as annual savings divided by gross income, expressed as a percentage. Because this tool assumes a constant growth rate, real-world outcomes will vary — sequence-of-returns risk means that poor returns early in retirement can significantly shorten portfolio longevity even if long-run averages hold.
Common mistakes
- Using an assumption that is not supported by a current local quote, bill, statement or official source.
- Treating a generic estimate as a lender, provider, payroll or tax authority decision.
- Mixing monthly and annual inputs without converting them consistently.
- Testing only one scenario instead of checking how a cautious assumption changes the result.
What to do next
- Run a second scenario with a cautious assumption so you can see the downside clearly.
- Compare the result with the related calculators below before making a decision.
- Check current local rules, eligibility and provider terms before applying or committing money.
- Keep a record of the assumptions so you can update the estimate when a quote, bill or pay figure changes.