4% Rule · FIRE Number · Savings Projection
The 4% rule says you can withdraw 4% of your portfolio annually (adjusted for inflation) with a high probability of not running out of money over 30 years. Your Retirement Number = Annual Expenses × 25.
| Annual Need | Retirement Number (×25) |
|---|---|
| $40,000 | $1,000,000 |
| $60,000 | $1,500,000 |
| $80,000 | $2,000,000 |
| $100,000 | $2,500,000 |
| $120,000 | $3,000,000 |
| Account | 2024 Limit | Tax Benefit |
|---|---|---|
| 401(k) | $23,000 | Pre-tax contributions |
| Roth IRA | $7,000 | Tax-free withdrawals |
| Traditional IRA | $7,000 | Pre-tax deduction |
| HSA | $4,150 (ind) | Triple tax advantage |
| SEP IRA (self-emp) | $69,000 | Pre-tax, high limit |
| Milestone | Meaning |
|---|---|
| Coast FIRE | Saved enough that compound growth alone will fund retirement |
| Barista FIRE | Part-time income covers expenses; investments grow untouched |
| Lean FIRE | Retire with minimal expenses ($40K/yr or less) |
| Full FIRE | Retire fully with comfortable lifestyle |
| Fat FIRE | Retire with $100K+/yr spending ($2.5M+ portfolio) |
⚖️ This calculator provides estimates based on the 4% safe withdrawal rate from the Trinity Study. Actual results depend on market conditions, inflation, healthcare costs, and longevity. Consult a certified financial planner for personalized retirement planning.