FIRE number calculator
Turn annual spending into a financial independence target. Adjust the withdrawal-rate assumption to see how much the target changes, then compare it with the investments you plan to use for retirement.
Your assumptions
Use one currency for all amounts. Changing this label does not convert values.
Example values are editable assumptions. Inputs are not saved or sent to NetCarry.
16.0% of this target covered by current investments.
- Annual portfolio-funded spending
- $50,000
- Withdrawal assumption
- 4%
- Current retirement investments
- $200,000
- Gap to target
- $1,050,000
Target = annual portfolio-funded spending ÷ withdrawal rate. Uses your spending input’s purchasing power; no future growth or inflation projection.
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How to calculate your financial independence number
FIRE stands for financial independence, retire early. This calculator estimates a portfolio target by dividing annual spending to be funded by investments by a withdrawal rate expressed as a decimal. A 4% assumption means dividing by 0.04, or multiplying spending by 25.
For $50,000 of annual portfolio-funded spending, that produces a $1,250,000 target. A 3% assumption produces a target of about $1,666,667. These are alternative planning inputs, not claims that either rate is safe for your circumstances.
Use portfolio-funded spending and investable assets
Enter the annual amount you expect investments to fund, including any taxes you expect to pay from withdrawals. If you account for other income, consider when it starts and how reliable it is. This tool does not calculate pensions, benefits, or tax bills for you.
For current investments, include assets you intend to draw on for retirement. A home can contribute to total net worth without being a spendable investment balance. Include proceeds from housing only as part of an explicit plan for selling, downsizing, or otherwise accessing them.
A target is not a retirement success forecast
This calculator compares today’s investments with a target in the same purchasing-power terms as your spending input. It does not project future contributions, inflation, market returns, or a retirement date. Keep all amounts in one currency.
Actual retirement outcomes depend on taxes, fees, lifespan, changing spending, and the order of investment gains and losses. Reaching this target does not guarantee that a portfolio will last. NetCarry’s retirement planner adds a contribution-and-growth scenario, which is still an illustration rather than a probability of success.
One spending goal, three withdrawal assumptions
| Item | Amount |
|---|---|
| 3% withdrawal assumption | $1,666,667 |
| 3.5% withdrawal assumption | $1,428,571 |
| 4% withdrawal assumption | $1,250,000 |
A lower assumed withdrawal rate requires a larger portfolio for the same spending. None of these examples is a recommended rate.
Common questions
Does my home count toward my FIRE number?
Your home can count toward total net worth. This calculator compares the target with investments available to support retirement spending, so do not automatically treat home equity as an investable portfolio.
Is 4% a guaranteed safe withdrawal rate?
No. It is an editable example assumption here. This arithmetic does not simulate market volatility, an early retirement’s longer time horizon, or the risk of losses early in retirement.
Why doesn’t this tell me when I can retire?
A retirement date needs assumptions about future savings, returns, spending, and inflation. This calculator only estimates a target and the gap from current investments. The NetCarry app supports a separate retirement projection.
Sources & methodology
Examples are illustrative. Product descriptions reflect NetCarry’s current calculations and account features.