4% Rule Calculator
Use the classic 25x expenses method to estimate your FIRE number, then stress-test with 3.5% and 3% rates for longer retirements.
Quick answer
The 4% rule estimates your retirement target as 25 times annual expenses. Example: $60,000/year spending implies a $1.5M portfolio. For retirements longer than about 30 years, many planners use 3.5% or lower to reduce risk.
Important: the 4% rule came from historical 30-year retirement studies. If you plan to retire early or need 40-50+ years of withdrawals, 3.5% (or lower) is often used as a safer starting point.
Next step: run Monte Carlo and historical backtesting in RetireNumber so you can evaluate failure risk instead of relying on a single rule of thumb.
Related calculators: Coast FIRE, Barista FIRE, Retirement Number, All calculators.