Choose Your FIRE Strategy
Lean FIRE: Retire early with minimal expenses (60-70% of current expenses)
Your Financial Details
Your FIRE Numbers
Your FIRE Number
₹1,50,00,000
Total corpus needed to achieve FIRE
Years to FIRE
15 years
You can retire at age 45
Annual Expenses at FIRE
₹12,00,000
Inflation-adjusted expenses
Detailed Breakdown
Based on current savings vs FIRE number
FIRE Journey Visualization
This chart shows your portfolio growth over time until you reach your FIRE number.
Year-by-Year Breakdown
| Year | Age | Annual Investment | Growth | Portfolio Value |
|---|---|---|---|---|
| Calculate to see breakdown | ||||
Understanding FIRE
What is FIRE?
FIRE (Financial Independence, Retire Early) is a movement focused on achieving financial independence through aggressive saving and investing, allowing you to retire earlier than traditional retirement age.
The 4% Rule
The 4% rule suggests you can safely withdraw 4% of your FIRE corpus annually without running out of money for at least 30 years, accounting for inflation.
Rule of 25
Your FIRE number = Annual Expenses × 25. This ensures your corpus can sustainably generate enough returns to cover your expenses indefinitely.
FIRE Variations
Lean FIRE: Minimal lifestyle (60-70% expenses)
Standard FIRE: Comfortable living (100% expenses)
Fat FIRE: Luxury lifestyle (150%+ expenses)
Barista FIRE: Semi-retirement with part-time work
Coast FIRE: Stop saving, let investments grow
Slow FIRE: Gradual approach to independence
Frequently Asked Questions
Q: What is the FIRE movement?
FIRE stands for Financial Independence, Retire Early. It's a lifestyle movement focused on extreme savings and investment to achieve financial independence and early retirement, often decades before the traditional retirement age of 60-65.
Q: How much money do I need to FIRE?
Your FIRE number is typically calculated using the Rule of 25: multiply your annual expenses by 25. For example, if you spend ₹6 lakhs per year, you need ₹1.5 crores. This allows you to safely withdraw 4% annually without depleting your corpus.
Q: What is the 4% rule?
The 4% rule suggests you can withdraw 4% of your investment portfolio annually in retirement without running out of money for at least 30 years. This assumes your investments continue to grow at a rate that outpaces inflation.
Q: Is 4% rule applicable in India?
In India, many financial advisors recommend a more conservative 3-3.5% withdrawal rate due to higher inflation and different market conditions. Our calculator allows you to adjust this rate to match your risk tolerance and market assumptions.
Q: What's the difference between Lean, Standard, and Fat FIRE?
Lean FIRE: Living on minimal expenses (60-70% of current expenses) to retire with a smaller corpus.
Standard FIRE: Maintaining your current lifestyle (100% of current expenses).
Fat FIRE: Retiring with luxury and enhanced lifestyle (150-200% of current expenses).
Q: How can I accelerate my FIRE journey?
1. Increase your savings rate (aim for 50%+)
2. Reduce unnecessary expenses
3. Invest in high-return assets like equity mutual funds
4. Create additional income streams
5. Increase investments annually with salary hikes
Q: What investments are best for FIRE in India?
For accumulation phase: Equity mutual funds (index funds, active funds), PPF, NPS
For post-FIRE: Balanced portfolio with 40-60% debt (FDs, debt funds, government bonds) and 40-60% equity for growth to beat inflation.
Q: Should I consider healthcare costs in FIRE planning?
Absolutely! Healthcare is one of the biggest variables in FIRE planning. Ensure you have comprehensive health insurance and factor in increasing healthcare costs with age. Some FIRE enthusiasts allocate an additional 10-20% buffer for healthcare.
Q: What is Barista FIRE?
Barista FIRE means having enough invested to cover most expenses, while working part-time for health insurance and supplemental income. This reduces the corpus needed and provides flexibility. Named after part-time barista jobs that often include health benefits.
Q: What is Coast FIRE?
Coast FIRE means you've saved enough that your investments will grow to a full FIRE number by traditional retirement age (60-65) without any additional contributions. You can "coast" and work only to cover current expenses without saving more.
Q: Which FIRE strategy is best for me?
It depends on your lifestyle preferences, risk tolerance, and timeline. Lean FIRE is fastest but requires frugality. Fat FIRE takes longer but offers luxury. Barista and Coast FIRE provide flexibility and reduce pressure. Use our calculator to compare different strategies.
Your FIRE Action Plan
Calculate Your FIRE Number
Determine your annual expenses and multiply by 25 for your FIRE corpus target.
Optimize Your Savings Rate
Aim for 50%+ savings rate. Track expenses and eliminate unnecessary spending.
Start Investing Aggressively
Focus on equity mutual funds, index funds, and diversified portfolios for long-term growth.
Review & Adjust Annually
Track progress, rebalance portfolio, and increase investments with income growth.