Lean FIRE Calculator
Calculate the minimum viable portfolio for a cost-effective lifestyle.
What is Lean FIRE?
Lean FIRE is the minimalist's path to financial freedom. It is designed for those who are willing to adopt a frugal lifestyle to retire significantly earlier than the norm. By keeping annual expenses low—typically $40,000 or less—you can achieve financial independence with a much smaller portfolio.
This approach isn't about deprivation; it's about optimizing for time and freedom over material consumption. It appeals to those who find joy in simple living, DIY projects, and low-cost hobbies.
The Benefits of Lean FIRE
- Speed: Lower spending means you need less capital, allowing you to retire years or decades sooner.
- Resilience: Living on less teaches you resourcefulness and reduces your dependence on high income.
- Eco-Friendly: A lower consumption lifestyle often results in a smaller carbon footprint.
Need More Precision?
This calculator is great for a quick check, but real life is more complex. If you want to track your net worth, manage multiple currencies, and simulate detailed retirement scenarios with changing variables over time, try our dedicated app.
Download Asset Prism for FreeFrequently Asked Questions
Is Lean FIRE risky?
Because the budget is tight, Lean FIRE leaves less room for error. Unexpected large expenses (like medical bills) can impact the portfolio more significantly. It's often wise to have a slightly higher withdrawal rate flexibility or a side income plan.
Can I switch from Lean to Fat FIRE later?
Absolutely. Many start with Lean FIRE to gain freedom from mandatory work, then use their free time to pursue passion projects that end up generating income, eventually propelling them to Fat FIRE.