FIRE Number
The portfolio size at which annual investment income covers your annual expenses indefinitely.
Definition
FIRE = Financial Independence, Retire Early. The standard formula uses the 4% safe withdrawal rate from the Trinity Study: annual_expenses × 25. At $50k/year expenses, the FIRE number is $1.25M. Early retirees (50+ year horizon) typically use 3.5% (×28.6) for safety against sequence-of-returns risk.
Formula
FIRE_number = annual_expenses / safe_withdrawal_rate (4% → expenses × 25)
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