Your savings rate—the percentage of income you save—is the most important factor in determining how quickly you reach financial independence. A higher savings rate means both more money invested AND lower expenses to fund in retirement.
As JL Collins says: "Spend less than you earn—invest the surplus—avoid debt."
Include 401(k), IRA, and all investment contributions
Your Savings Rate
Savings ÷ Income
20.0%
Years to FIRE
Based on 7% returns, 4% withdrawal
~68 years
Good start. Traditional retirement on track.
About This Calculator
The years-to-FIRE formula was popularized by Mr. Money Mustache and is endorsed by JL Collins. It assumes: 7% real investment returns, 4% safe withdrawal rate, and that your expenses remain constant.
JL Collins' advice: "Your savings rate is the single most important factor in building wealth. The more you save, the less you need to retire—and the faster you get there."
This calculator assumes you're starting from $0 in savings. If you already have savings, your time to FIRE will be shorter.