Savings Rate Financial Independence Calculator
Calculate your savings rate for financial independence (FIRE) and see exactly how your savings rate impacts your timeline to achieving financial freedom and early retirement.
Quick Answer
Savings Rate = (Savings ÷ After-Tax Income) × 100%. 50% savings rate = 17 years to FI, 70% = 8.5 years, 25% = 32 years. Essential for FIRE planning and early retirement strategies.
Calculator Preview
Savings Rate: 40%
Years to FI: 21.7 years
FI Date: 2046
Key Features
Savings Rate Calculation
Calculate your exact savings rate percentage
FI Timeline
See your path to financial independence
Retirement Number
Calculate your target FI number
Investment Growth
Project investment growth over time
How It Works
Enter Income & Savings
Input your after-tax income and monthly savings amount
Calculate Savings Rate
System calculates your savings rate percentage
Set FI Target
Determine your financial independence number (25x annual expenses)
See Your Timeline
View your projected path to financial independence
Why Calculate Your Savings Rate?
Clear Timeline
Know exactly when you'll reach FI
Motivation
Stay motivated with clear goals
Optimization
Find ways to increase savings rate
Savings Rate Benchmarks
70%+ - Ultra Aggressive FIRE
Retire in 7-8.5 years. Requires extreme frugality and high income.
50-69% - Aggressive FIRE
Retire in 8.5-17 years. High savings rate with disciplined lifestyle.
30-49% - Moderate FIRE
Retire in 17-28 years. Balanced approach to savings and lifestyle.
10-29% - Traditional Path
Retire in 28-51 years. Standard retirement savings approach.
Popular FIRE Strategies
Lean FIRE
Retire on minimal expenses (~$40k/year). Requires 25x annual expenses, typically $1M or less.
Fat FIRE
Retire with luxury lifestyle (~$100k+/year). Requires $2.5M+ in investments.
Barista FIRE
Retire from main job, work part-time for benefits and expenses. Lower FI number needed.
Coast FIRE
Stop saving, let investments grow to FI number. Work optional until investments reach target.
Plan Your Financial Independence
Calculate your savings rate and see your path to financial freedom
Use Full CalculatorFrequently Asked Questions
What is a good savings rate for FIRE?
For traditional FIRE, aim for 50%+ savings rate. This allows retirement in 17 years or less. Higher rates mean faster FI.
How is the 25x rule calculated?
The 4% safe withdrawal rule suggests you can withdraw 4% annually from investments. Therefore, you need 25x your annual expenses (100% ÷ 4% = 25x).
Should I include 401(k) match in savings rate?
Yes, include all retirement contributions including employer matches. This gives you your total savings rate across all accounts.
What if my income varies?
Calculate your annual savings rate using total yearly income and savings. This smooths out income fluctuations.