Finance
FIRE (Financial Independence, Retire Early)
A financial movement focused on aggressive saving and investing to achieve financial independence and the option to retire well before the traditional age.
The FIRE approach centers on a high savings rate: the more of each paycheck you invest, the sooner investment income can cover your spending. The 25×-expenses target is the inverse of the 4% withdrawal rule and marks the point where work becomes optional.
Key Formula & Relationship
FIRE Target Number = Annual Expenses × 25 (based on 4% SWR)
Reviewed by the Calculover Editorial Team for mathematical and practical accuracy.
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