Coast FIRE: Easiest Path To FIRE

Coast FIRE is when you aim to invest enough money to let it grow without any further contributions and have that money be sufficient to cover a traditional retirement.

## How Is Coast FIRE Calculated?

The easiest way to calculate Coast FIRE is to find your FIRE number first. If you anticipate having yearly expenses of \$40,000/year in retirement, you would have to save \$1 million. FIRE Number = 25 x (Yearly Expenses)

You can invest \$90,000 at an early age and let it grow to \$1 million using compound interest. Letting \$90,000 compound over 35 years at a 7% average yearly return would give you \$1 million!  This is why compound interest is the 8th wonder of the world.

Your Coast FIRE number or the amount will depend on two factors: Yearly Expenses Time Until Retirement

## Coast FIRE Calculator

If you are 30 and want to retire at 65, you would have 35 years until retirement. Now we can calculate our Coast FIRE Number: Coast FIRE Number = (Yearly Expenses x 25) ÷ (X) X Depends On Your Time Until Retirement

## Let's figure out how much time you have until you want to retire.

Yearly Expenses (\$40,000) Time Until Retirement (35 Years) X = 11.5 CoastFI Number = (\$40,000 x 25) ÷ (11.5) CoastFI Number = \$87,000

## Calculate Your Coast FI Number With My Free Coast FIRE Calculator

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