Coast FIRE Calculator
Use the Coast FIRE Calculator to quickly estimate how much you need invested to stop saving and let compound growth propel you to full financial independence.
- ✓Real-time
- ✓Transparent
- ✓Scalable
- ✓Examples
Coast FIRE Calculator
What is Coast FIRE?
Coast FIRE is a milestone in your financial independence journey where you have enough money invested that, without adding another dollar, it will grow to support you in traditional retirement. It's about reaching a point where you can 'coast' and have more flexibility in your career and life choices.
Why Use Coast FIRE Strategy?
Early Financial Freedom
Achieve financial independence years before traditional retirement age without needing the full FIRE amount.
Career Flexibility
Once you reach Coast FIRE, you can pursue passion projects, lower-paying but fulfilling work, or take career breaks.
Reduced Stress
Knowing your retirement is secured allows you to make life decisions based on fulfillment rather than financial necessity.
Compound Interest Power
Leverage the magic of compound interest to do the heavy lifting for your retirement savings.
Lower Savings Pressure
After reaching Coast FIRE, you can reduce your savings rate and enjoy more of your current income.
How to Use the Calculator
- 1
Enter your current age and planned retirement age
- 2
Input your current investment savings amount
- 3
Set your expected annual expenses in retirement
- 4
Adjust investment return and inflation assumptions
- 5
Click 'Calculate' to see your Coast FIRE number
Parameter Explanations
| Parameter | Meaning | Typical Range | Effect |
|---|---|---|---|
| Current Age | Your age today | 25-35 | Younger age = more time for compound growth = lower Coast FIRE number needed |
| Retirement Age | When you plan to retire | 60-67 | Later retirement = more compound time = lower Coast FIRE number needed |
| Current Savings | Total invested assets today | $10,000-$100,000 | Higher current savings = lower additional Coast FIRE amount needed |
| Expected Return | Annual investment return rate | 7% | Higher return = lower Coast FIRE number needed (but higher risk) |
Calculation Logic
Coast FIRE Target = (Annual Expenses × 25) ÷ (1 + Expected Return)^Years to Retirement
The '25' multiplier assumes a 4% withdrawal rate in retirement (1/0.04 = 25)
We discount the future retirement need back to present value using compound interest
Coast FIRE Gap = Coast FIRE Target - Current Savings
If Gap ≤ 0, you've already reached Coast FIRE!
Retirement Value = Current Savings × (1 + Expected Return)^Years to Retirement
Calculation Examples
Simple Example
Young professional starting their Coast FIRE journey
Input:
- •Age 25, wants to retire at 65 (40 years to grow)
- •Currently has $20,000 invested
- •Expects to need $50,000/year in retirement
- •Assumes 7% annual return
Result:
Coast FIRE Target: $83,663 | Gap: $63,663 | At 65: $599,467
Comparison Example
Same person 10 years later with more savings
Input:
- •Age 35, wants to retire at 65 (30 years to grow)
- •Now has $150,000 invested
- •Still expects $50,000/year in retirement
- •Same 7% annual return assumption
Result:
Coast FIRE Target: $164,255 | Already achieved! | At 65: $1,142,815
How to Interpret Results
Understanding your Coast FIRE status and what the numbers mean for your financial future.
Achieved Coast FIRE
Congratulations! You've already reached Coast FIRE. Your current savings will grow to support your retirement without additional contributions.
Close to Coast FIRE
You're close! With a modest increase in savings or slight adjustment to assumptions, you could reach Coast FIRE soon.
Far from Coast FIRE
You need significant additional savings to reach Coast FIRE. Consider increasing your savings rate or adjusting your retirement timeline.
Frequently Asked Questions
What does the Coast FIRE number represent?
It's the amount of money you need in your investment accounts today to be able to 'coast' to a traditional retirement without any further contributions. Your existing savings will compound over time to provide for your retirement.
How is Coast FIRE different from regular FIRE?
Regular FIRE requires enough money to retire immediately (typically 25x annual expenses). Coast FIRE only requires enough to eventually reach that number through compound growth, allowing you to stop aggressive saving much earlier.
What if I haven't reached my Coast FIRE number yet?
The calculator shows you exactly how much more you need to save. Once you reach that number, you can reduce your savings rate and have more flexibility in your career choices while still being on track for retirement.
Are the investment return assumptions realistic?
The default 7% return is based on historical stock market averages. You can adjust this number based on your investment strategy and risk tolerance. Conservative investors might use 5-6%, while more aggressive investors might use 8-10%.
Should I account for Social Security or pensions?
This calculator focuses on your personal investment accounts. If you expect Social Security or pension income, you can reduce your annual expenses input by that expected amount to get a more accurate Coast FIRE number.
What's a safe withdrawal rate?
The traditional rule is 4%, meaning you can withdraw 4% of your portfolio annually in retirement. Some prefer 3-3.5% for extra safety, while others are comfortable with 4.5-5%. Adjust based on your risk tolerance.
Important Disclaimer
This calculator is for educational purposes only and does not constitute financial advice. Results are estimates based on the assumptions you provide and are not guaranteed. Actual investment returns may vary significantly. Please consult with a qualified financial advisor for personalized advice.