When could you stop working? Enter what you have invested, what you add each month and what you expect to spend in retirement. The calculator shows your target number, the age you could reach it and how small changes move that date.
Use today’s dollars. The return is after inflation, so your target stays in today’s money.
Each bar is one year. Green bars have reached your target.
What is FIRE?
FIRE stands for Financial Independence, Retire Early. The idea is simple: save and invest a large share of your income until your investments can pay for your life. After that, work becomes optional.
How your target number is worked out
Your target is your yearly spending divided by your safe withdrawal rate. With the classic 4% rule, that is 25 times your yearly spending. Spend $50,000 a year and your target is $1.25 million. Spend $40,000 and it drops to $1 million.
The 4% rule comes from US research on 30-year retirements. If you plan to retire very early, many people use 3.5% for extra safety, which raises the target to about 28.5 times spending.
What moves your date the most
- Your spending. Every $1,000 you cut from yearly spending lowers your target by $25,000 at 4%. It works twice: you save more now and need less later.
- Your savings rate. Someone saving half their income can often reach FIRE in about 17 years, no matter how much they earn.
- Starting early. Money invested in your 20s has decades to compound. See the compound interest calculator.
- Fees and taxes. Low-cost index funds and tax-sheltered accounts keep more of your return. Fill your TFSA room and check your RRSP refund.
What this calculator leaves out
It does not include CPP, OAS, Social Security, a workplace pension or taxes on withdrawals. Government pensions lower the amount you need to save, while taxes on RRSP or 401(k) withdrawals raise it. Treat the result as a starting point.
Find your starting point with our net worth calculator.
Frequently asked questions
How much do I need to retire early?
About 25 times your yearly spending with the 4% rule, or about 28.5 times with 3.5%. Someone spending $60,000 a year needs roughly $1.5 to $1.7 million.
Is the 4% rule still safe?
It held up in most past 30-year periods, but nothing is guaranteed. Longer retirements, high fees or a market crash early in retirement are the main risks. Many early retirees stay flexible and spend less in bad years.
What return should I use?
Use a return after inflation. A balanced stock and bond portfolio has averaged roughly 4% to 6% above inflation over long periods. Using 5% keeps the result in today’s dollars.
This calculator gives an estimate for general information only. Not financial advice.
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