Understanding the FIRE chart
Net Worth shows your projected wealth over time, growing through contributions and compound investment returns before retirement, then decreasing as you withdraw funds.
FIRE Number is the amount you need invested to cover your annual spending using the safe withdrawal rate. When your net worth crosses this line, you've achieved financial independence.
CoastFIRE shows the amount needed at each age to reach your FIRE number by retirement through investment growth alone—no additional contributions required.
Your financial timeline
CoastFIRE
You could stop contributing and still reach FIRE by retirement through growth alone.
What this means
At age 42, your investments have grown enough that compound interest alone will carry you to financial independence by your target retirement age — even if you never save another dollar.
Your options
You could reduce your savings rate, switch to a lower-paying but more fulfilling job, work part-time, or simply enjoy more of your income now while still staying on track for retirement.
Financial Independence
Your net worth reaches $2,110,397. You can live off investments.
What this means
You've accumulated enough wealth that your investments can generate sufficient income to cover your annual expenses of $30,000 indefinitely, using a 4% withdrawal rate.
Your options
You have the freedom to stop working for money entirely, pursue passion projects, travel, or continue working on your own terms. Your financial future is secure.
Retirement
Projected net worth of $2,726,501 at your planned retirement.
What this means
At your planned retirement age of 65, you'll have $2,726,501 — which is above your FIRE number. You're in great shape!
What happens next
After retirement, the projection assumes you'll withdraw $30,000 annually (adjusted for inflation) while your remaining investments continue to grow.
Financial Security
Projection ends with $1,699,849 above your FIRE target.
What this means
At age 80, you're projected to have $4,987,779 — comfortably above your FIRE number. Your financial plan is robust and sustainable.
Legacy potential
This surplus could provide a financial legacy for loved ones, fund charitable giving, or give you extra security against unexpected expenses or market downturns.
Your situation
Assumptions
Compounding growth
By retirement at age 65, your $100,000 in starting savings plus $420,000 in contributions will grow to $2,726,501. That means $2,206,501 (81%) of your wealth comes from investment growth alone—money your money made for you.
The math behind FIRE
FIRE Number
The amount needed at retirement to sustain $30,000/year spending (in today's dollars) using a 4% withdrawal rate. Inflation of 3% means your spending will be $84,416/year in nominal terms at retirement.
CoastFIRE Number
The amount you need today to reach your FIRE number by retirement through investment growth alone, without additional contributions. This uses your 7% growth rate to discount the future FIRE number back to today.
Net Worth Growth
Where PV = $100,000, g = 7% growth, i = 3% inflation, n = 35 years, PMT = $12,000/year
The 4% Rule: Based on the Trinity Study, this withdrawal rate has historically sustained 30-year retirements, adjusting withdrawals for inflation each year.