What is a FIRE number?

Your FIRE number is the amount of invested assets you need to cover your annual expenses indefinitely using the 4% safe withdrawal rate. It equals your annual expenses divided by your withdrawal rate. For example, if you spend $50,000 per year, your FIRE number is $1,250,000.

Coast FIRE means you have enough invested today that compound growth alone will reach your full FIRE number by a target retirement age (typically 60), even if you never save another dollar. You still work to cover current expenses, but you no longer need to save for retirement.

What is Barista FIRE?

Barista FIRE means you have enough saved to cover roughly half your expenses from investments, so you only need a part-time or low-stress job to cover the rest. The name comes from the idea of working as a barista for health insurance and spending money while your portfolio covers the big bills.

Is a 4% withdrawal rate still safe?

The 4% rule comes from the Trinity Study and has been validated across most 30-year historical periods. For early retirees with 40-50+ year horizons, many planners recommend a 3.5% or even 3.25% rate. The W-2 Trap covers withdrawal rate strategies in detail along with 80+ exit strategies for building the assets to get there.

How do I speed up my path to FIRE?

The two levers are reducing expenses (which lowers your FIRE number) and increasing savings (which gets you there faster). The W-2 Trap covers 80+ strategies for increasing income through side businesses, tax optimization, S-Corp structuring, real estate, and more — all designed to accelerate your path to financial independence.

FIRE Number Calculator

How much do you need to never work again? Enter your numbers below and find out instantly.

Annual Expenses ($)

Your total yearly spending (rent/mortgage, food, insurance, everything)

Current Savings / Investments ($)

Annual Savings Amount ($)

How much you save and invest each year

Expected Return (%)

Withdrawal Rate (%)

Your Current Age

Your FIRE Number

The invested amount that covers your expenses forever

Years to FIRE

FIRE age: --

Progress

of your FIRE number

Coast FIRE

Stop saving now, retire at 60

Barista FIRE

50% covered by investments

Wealth Growth Timeline

Now Year 0

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Understanding FIRE Variants

Full FIRE (Financial Independence, Retire Early)

Full FIRE means your investment portfolio is large enough that a safe withdrawal rate (typically 4%) covers 100% of your annual expenses. You never need to earn another dollar. This is the gold standard — your FIRE number equals your annual expenses divided by your withdrawal rate.

Coast FIRE

Coast FIRE means you have already saved enough that compound growth alone will carry your portfolio to your full FIRE number by a traditional retirement age (typically 60). You still need to work to cover today's expenses, but you can stop saving for retirement entirely. This opens the door to lower-paying but more fulfilling work.

Barista FIRE

Barista FIRE is the halfway point — your investments cover roughly 50% of your expenses. You supplement the rest with a part-time or low-stress job (the name comes from the idea of pulling espresso shots for health insurance). It is the fastest FIRE variant to reach and often the most practical for people with families.

The 4% Rule Explained

The 4% rule comes from the 1998 Trinity Study, which found that a diversified portfolio could sustain a 4% annual withdrawal rate across nearly every 30-year historical period. For early retirees with 40-50+ year horizons, financial planners often recommend 3.5% or 3.25% to add a margin of safety. Adjust the withdrawal rate slider above to see how this affects your numbers.

Accelerating Your Path

There are only two levers: spend less (which lowers your FIRE number) or earn and save more (which gets you there faster). Most FIRE content focuses on frugality, but The W-2 Trap focuses on the other lever — 80+ ways to increase income, reduce taxes, and build assets that generate cash flow. Chapter 12 alone covers 7 tax strategies that can save W-2 earners $5,000–$30,000+ per year.

Disclaimer: This calculator provides estimates for educational purposes only. Actual returns vary. Inflation, taxes, healthcare costs, and market volatility will affect your real-world results. This is not financial advice. Consult a qualified financial planner.