FIRE & Financial Independence Calculator
How much do you need invested to live off your returns, and in what year do you get there? Enter your age, what you have already invested, how much you save each month and the expenses you want to cover: the calculator estimates the portfolio you need (the "FI number") and the time to financial independence.
Use a REAL return (already above inflation): for global equities it is around 4% to 5% a year. The 4% rule assumes you can withdraw 4% of the portfolio each year without depleting it.
Year-by-year path
| Year | Portfolio |
|---|---|
| 1 | €22,790 |
| 2 | €36,235 |
| 3 | €50,368 |
| 4 | €65,224 |
| 5 | €80,840 |
| 6 | €97,254 |
| 7 | €114,509 |
| 8 | €132,646 |
| 9 | €151,712 |
| 10 | €171,752 |
| 11 | €192,818 |
| 12 | €214,962 |
| 13 | €238,239 |
| 14 | €262,707 |
| 15 | €288,426 |
| 16 | €315,461 |
| 17 | €343,880 |
| 18 | €373,752 |
| 19 | €405,153 |
| 20 | €438,160 |
| 21 | €452,407 |
Educational estimate, not financial advice. Returns are not guaranteed and investments can lose value.
What this calculator does
It works out two things. First, the portfolio you need to live off your returns: annual expenses divided by the safe withdrawal rate (the 4% rule makes this annual expenses times 25). Then it simulates your portfolio growing, month by month, with the savings you make and the return you set, until it reaches that target.
The 4% rule
The 4% rule says that, with a diversified portfolio, you can withdraw about 4% a year (adjusted for inflation) without running out over a 30-year retirement. It is a historical reference, not a guarantee: for more of a buffer, people use 3% to 3.5%, which requires a bigger portfolio.
Use a real return
Enter the return already above inflation (real). For long-run global equities it is around 4% to 5% a year. Because everything is in today’s euros, the portfolio you need and the time to reach it are already in today’s purchasing power, with no separate inflation adjustment.
Worked example
At 30, with €10,000 already invested, €1,000 of monthly savings, a 5% real annual return and €1,500 of monthly expenses, the FI number is €450,000 (€1,500 × 12 ÷ 4%). You reach it in about 20 years and 5 months, at around age 50: you save €255,000 and investment growth provides the other €197,000.
Frequently asked questions
What is the FIRE movement?
How much do I need to be independent?
Is the 4% rule safe?
Does the calculator take tax off?
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Sources
- Todos Contam: Portal de educação financeira — Banco de Portugal
Author: Thorben Rasmus Idel · Reviewed by: Nahar Geva · Last reviewed: 2026-06-10