FIRE Number Calculator
Estimate the portfolio you need for financial independence and how long your current plan may take to get there.
Parameters
Result
FIRE number
€600,000.00
Portfolio gap
€500,000.00
Portfolio coverage
16.7%
Target monthly passive income
€2,000.00
Target annual passive income
€24,000.00
Estimated time to FIRE
15 years and 3 months at your current plan
To fund annual spending of €24,000.00 at a 4.0% withdrawal rate, you need a portfolio of €600,000.00.
With your current portfolio and monthly investing plan, you could reach that target in about 15 years and 3 months.
Disclaimer: This estimate is illustrative only. FIRE outcomes depend on taxes, fees, market volatility, sequence of returns risk, and how flexible your spending is in retirement.
What is a FIRE number?
Your FIRE number is the portfolio size needed to cover your annual spending without relying on employment income. A common shortcut is to divide yearly spending by your chosen safe withdrawal rate. For example, a 4% withdrawal rate implies a target portfolio equal to 25 times annual spending.
This calculator also estimates how long it may take to reach that target using your current portfolio, expected annual return, and ongoing monthly investing. It is a planning tool, not a guarantee. Real-world returns are uneven and your future spending may change.
How to use this calculator
- Annual spending - the amount you expect to spend each year once you are financially independent.
- Safe withdrawal rate - the share of your portfolio you believe can be withdrawn each year. Lower rates require a larger target portfolio.
- Current portfolio - the invested assets already working toward FI. Cash for short-term needs is usually excluded.
- Monthly investing - the amount you plan to add to your portfolio every month going forward.
- Expected annual return - your assumed long-run portfolio return before inflation unless you intentionally input a real return.