How is the FIRE number calculated?

It is your annual expenses divided by the safe withdrawal rate (the share of your portfolio you draw down each year to live on) you choose. At a 3.5% rate, CHF 60,000 of expenses implies an estimated FIRE portfolio of about CHF 1,714,000 in today's francs.

Which withdrawal rate makes sense in Switzerland?

The well-known 4% figure — the withdrawal rate is the share of your portfolio you take out each year to live on — comes from US studies covering 30-year retirements. A Swiss early retirement can last 40 to 50 years, so many people plan with 3% to 3.5% instead. The rate is editable so you can compare both.

Should I include my 3a and pension assets?

This version deliberately counts only liquid, investable assets, because 2nd pillar (BVG/LPP) and Pillar 3a money is normally locked until close to retirement age and cannot fund the early years. Future AHV/AVS income is also excluded, which makes the estimate conservative for the later decades.

Why do the years to FIRE change so much when I adjust the monthly amount?

Early on, contributions dominate and compounding (earning returns on your returns) is small, so the savings rate moves the date far more than the assumed return. The sensitivity block on the page shows this with 20% more and 20% less per month.

Are taxes and fees included?

No. There is no tax on withdrawals, no wealth tax and no fund or custody cost in the model. Entering a return that is already net of fees gives a more realistic estimate.

Planning

FIRE Calculator (Financial Independence)

FIRE means having enough invested that a sustainable withdrawal covers your living costs. Enter your expenses, invested assets and monthly savings to see an estimated FIRE number and how many years it could take — all figures are simplified estimates.

Your situation

Current age

Current annual expenses

Everything you actually spend in a year — rent, health insurance, food, taxes, travel.

Invested assets today

Liquid, investable assets only. 2nd pillar (BVG/LPP) and Pillar 3a are excluded because they are normally locked until close to retirement.

Amount invested per month

Assumptions

Expected annual return

A broadly diversified (spread across many companies and sectors) equity portfolio has historically returned roughly 5–7% per year before fees, with large swings.

Safe withdrawal rate

The safe withdrawal rate is how much of your portfolio you draw down each year to live on. 4% is the traditional figure from the US "Trinity study". Many argue for 3–3.5% for the long retirement horizons and lower expected returns typical of a Swiss early retirement.

Annual expense growth (inflation)

Your target grows with your costs: expenses inflate, so the portfolio you need inflates too.

Estimated years to financial independence

32 years

At this pace you would reach an estimated FIRE portfolio around age 67.

FIRE number (today's francs)

CHF 1'714'286

CHF 60'000 of expenses ÷ 3.5% withdrawal rate

Estimated FIRE age

From age 35 today

Target at that point

CHF 2'518'574

Your FIRE number grown by 1.2% inflation

Projected portfolio

CHF 2'527'133

CHF 894'000 paid in, CHF 1'633'133 estimated growth

Implied savings rate

28.6%

Savings ÷ (savings + expenses)

Progress today

Of your FIRE number already invested

Portfolio trajectory vs. your FIRE number

The stacked area is your projected portfolio. The dashed line is the FIRE target, which drifts upwards as expenses inflate.

Your contributions Estimated investment gains

Estimated crossing: age 67, in about 32 years.

What if you save more or less?

Same assumptions, only the monthly amount changes.

20% less per month

36 years

CHF 1'600 / month

Your plan

32 years

CHF 2'000 / month

20% more per month

29 years

CHF 2'400 / month

Saving CHF 400 more per month shortens the estimated path by roughly 3 years — the savings rate usually moves the date far more than the assumed return does.

What these numbers mean

The FIRE number is simply your annual expenses divided by the withdrawal rate you trust: CHF 60'000 ÷ 3.5% = CHF 1'714'286 in today's francs. Cutting recurring costs lowers this target twice over — you need less income, and you can invest more of what you earn.

Years to FIRE come from compounding (earning returns on your returns, not just on the money you put in) your existing CHF 120'000 plus CHF 2'000 per month at 5% a year until the portfolio crosses the target. Because expenses inflate at 1.2%, the target itself rises to about CHF 2'518'574 by then.

The withdrawal rate is the most debated assumption here. 4% comes from US studies over 30-year retirements; a Swiss early retirement can last 40 to 50 years, which is why 3% to 3.5% is often used as the more cautious planning figure.

Treat the result as a direction, not a date. Markets do not deliver a smooth return, and later in life AHV/AVS and pension income usually reduce how much your own portfolio has to carry.

This is a deliberately simplified model: returns are assumed constant every month, while real markets fluctuate, sometimes heavily.
Sequence-of-returns risk is not modelled — a crash in the first years of withdrawal is far more damaging than the same crash later.
Only liquid, investable assets are counted. 2nd pillar (BVG/LPP) and Pillar 3a balances are excluded, as is any future AHV/AVS pension, which typically supplements FIRE income later in life.
No tax on withdrawals, no wealth tax and no fund, custody or trading costs are deducted. Enter a return that is already net of fees for a more realistic figure.
Health insurance premiums, family changes, career breaks and one-off costs are not modelled.
Contributions are invested at the start of each month and are assumed to stay constant in nominal terms.
Expenses grow with the inflation assumption, so the FIRE target grows too. Amounts are in Swiss francs (CHF).
The projection horizon is capped at 60 years; beyond that the tool reports that the target is not reached.

This calculator provides approximate, educational estimates only. It is not investment, tax or retirement advice, and not a forecast.

It does not consider your personal situation, pension entitlements or tax position. Your inputs stay in your browser and are never sent to a server.

How is the FIRE number calculated?: It is your annual expenses divided by the safe withdrawal rate (the share of your portfolio you draw down each year to live on) you choose. At a 3.5% rate, CHF 60,000 of expenses implies an estimated FIRE portfolio of about CHF 1,714,000 in today's francs.
Which withdrawal rate makes sense in Switzerland?: The well-known 4% figure — the withdrawal rate is the share of your portfolio you take out each year to live on — comes from US studies covering 30-year retirements. A Swiss early retirement can last 40 to 50 years, so many people plan with 3% to 3.5% instead. The rate is editable so you can compare both.
Should I include my 3a and pension assets?: This version deliberately counts only liquid, investable assets, because 2nd pillar (BVG/LPP) and Pillar 3a money is normally locked until close to retirement age and cannot fund the early years. Future AHV/AVS income is also excluded, which makes the estimate conservative for the later decades.
Why do the years to FIRE change so much when I adjust the monthly amount?: Early on, contributions dominate and compounding (earning returns on your returns) is small, so the savings rate moves the date far more than the assumed return. The sensitivity block on the page shows this with 20% more and 20% less per month.
Are taxes and fees included?: No. There is no tax on withdrawals, no wealth tax and no fund or custody cost in the model. Entering a return that is already net of fees gives a more realistic estimate.

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Check Swiss affordability rules and the equity you need.

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FIRE Calculator (Financial Independence)

Portfolio trajectory vs. your FIRE number

What if you save more or less?

What these numbers mean

Assumptions usedFor anyone curious about exactly how we calculate — feel free to skip this part.

Frequently asked questionsShort answers to the questions that come up most often with this calculator.

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