What you need and how to get there: A FIRE Calculator

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Sum Calculator

This calculator will help you answer the simple question of how much you need to save to reach a certain amount of money in so many years. It's pure math - doesn't take into account variations, inflation, changing expenses, extra social security or other factors. It's not advice and nobody can predict the future. But numbers can be very helpful. I used popular example interest rates, 4% withdrawl, 5% investment gains, but you can certainly change them.

  example: 75000
  example: 5
  example: 20
 example: 100000
  example: 4
 


What you need to retire:
What you need save up every month to get there:    

 






The math: P = r / ((1 + r)^N - 1) * (pv * (1 + r)^N - fv)
Where
  • P = monthly payments
  • r = periodic interest rate (annual rate / 12)
  • N = number of payments (years * 12)
  • pv = what you have now
  • fv = annual expenses / withdrawl rate (what you need in the end)
You can also use the pmt() function in a spreadsheet for this:


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