Fat FIRE
Retire abundantly, never compromise
Annual expenses: $100,000+ · FIRE Number: $2.5M+
Fat FIRE is financial independence without lifestyle sacrifices — retiring on $100,000 or more per year, maintaining travel, dining, entertainment, and all the comforts you enjoy today. It requires a large portfolio but offers complete freedom and maximum security.
What is Fat FIRE?
Fat FIRE practitioners retire with a portfolio large enough to support $100,000+ in annual spending using the 4% safe withdrawal rate. Unlike Lean FIRE which requires frugality, Fat FIRE preserves your current (or aspirational) lifestyle entirely.
The term was popularized in the FIRE community to distinguish those pursuing comfortable, luxury-adjacent retirement from those pursuing minimal spending. Fat FIRE is aspirational but achievable — particularly for high-income professionals in finance, tech, medicine, and law who maintain disciplined saving habits.
Fat FIRE Numbers
Pros & Cons of Fat FIRE
Advantages
- No lifestyle sacrifices — retire the way you live now
- Large buffer for healthcare, dependents, emergencies
- Most resilient to market downturns and inflation
- Ability to give generously and leave a legacy
- Complete time freedom without budget anxiety
Disadvantages
- Requires very high income and/or decades of saving
- Typically takes 20-35 years even with high savings rate
- Risk of lifestyle inflation pre-retirement undermining progress
- Complex tax planning as portfolio grows
- Identity challenges if career was central to self-worth
Path to Fat FIRE
Maximize income
Invest in high-earning skills, negotiate aggressively, pursue promotions and side income. Fat FIRE requires capital.
Resist lifestyle inflation
The Fat FIRE trap: as income grows, spending grows too. Keep lifestyle increases modest relative to income growth.
Invest in low-cost index funds
Maximize tax-advantaged accounts (401k, IRA, HSA), then invest in taxable brokerage. Keep fees minimal.
Plan for healthcare
Healthcare is the #1 expense for early retirees. Budget for ACA premiums, build an HSA, or plan for international coverage.
Optimize taxes
Tax-loss harvesting, Roth conversions, asset location, and legacy planning become critical at Fat FIRE portfolio sizes.
Frequently Asked Questions
What is Fat FIRE?
Fat FIRE means achieving financial independence on $100,000+ per year in annual expenses. It typically requires a portfolio of $2.5M or more, allowing you to retire comfortably with no lifestyle sacrifices.
How much do you need for Fat FIRE?
Fat FIRE requires at least $2.5M in invested assets for $100K/year spending. $4M supports $160K/year. $5M supports $200K/year — all using the 4% safe withdrawal rate rule.
How long does Fat FIRE take to achieve?
Fat FIRE typically takes 20-35 years for high earners. Those with household incomes of $200K+ and 40-50% savings rates can potentially achieve it in 15-20 years.
What income do you need for Fat FIRE?
Fat FIRE is most achievable with household incomes of $150K-$500K+. Even on high income, a 40%+ savings rate is typically required. The key is maintaining a large gap between income and spending.
Calculate Your Fat FIRE Number
See exactly how long it will take to achieve Fat FIRE based on your income and savings rate.
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