FIRE Planning

FIRE Calculator

Financial Independence, Retire Early — calculate the corpus you need and the SIP to get there.

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The % of corpus you withdraw annually in retirement (4% rule is standard)

What is FIRE?

FIRE (Financial Independence, Retire Early) is a movement focused on aggressive savings and investment to achieve financial freedom much earlier than the traditional retirement age of 60. The goal is to build a corpus large enough that its returns cover your living expenses indefinitely.

How is the FIRE Corpus Calculated?

The calculator uses these steps:

  1. Projects your current monthly expenses to retirement age using inflation rate
  2. Calculates the annual expenses at retirement
  3. Divides by the safe withdrawal rate to get the required corpus (e.g., ₹12L/year ÷ 4% = ₹3Cr corpus)
  4. Subtracts the future value of your existing investments
  5. Calculates the monthly SIP needed to build the remaining corpus

The 4% Rule

The 4% rule suggests you can safely withdraw 4% of your corpus annually without running out of money for 30+ years. In India, with higher inflation, some experts suggest 3-3.5% for more safety. Adjust the withdrawal rate based on your risk tolerance.