Barista FIRE Calculator
Retiring Doesn't Have to Mean Your Portfolio Covers Everything
Barista FIRE — named for the idea of taking a part-time job (a coffee shop, for instance) that provides income and often benefits after leaving a full-time career — only requires your portfolio to cover the gap between your expenses and that part-time income, not your full expenses. Because the portfolio's job shrinks, the required balance shrinks too, often putting this milestone well ahead of full FIRE.
The Formula
Barista FIRE Number = Income Gap ÷ Withdrawal Rate
Years to reach the number are solved the same way as standard FIRE, using current savings, annual contributions, and expected return until the projected balance covers the (smaller) Barista FIRE number.
Where This Calculation Matters
- Bridging to full retirement — a part-time role can also provide health insurance, softening one of the biggest risks of leaving full-time work early.
- Reaching a milestone sooner — because the portfolio only needs to fund the expense gap, Barista FIRE is typically reachable years before a full FIRE number.
- Testing different part-time income levels — comparing a $10,000/year gig against a $30,000/year role shows exactly how much each reduces the required portfolio.
- Flexible transition planning — some savers use Barista FIRE as an intermediate step, tapering full-time work down rather than stopping abruptly.
How Part-Time Income Shrinks the Required Portfolio
| Part-time annual income | Income gap | Barista FIRE number |
|---|---|---|
| $0 (equivalent to full FIRE) | $50,000 | $1,250,000 |
| $10,000 | $40,000 | $1,000,000 |
| $20,000 | $30,000 | $750,000 |
| $30,000 | $20,000 | $500,000 |
Every $10,000 of part-time income in this example reduces the required portfolio by $250,000 at a 4% withdrawal rate — a direct result of the 25x expense multiplier.
How to Use This Calculator
- Enter your expected annual expenses in retirement.
- Enter the annual income you expect from part-time or "barista" work.
- Enter your current investable savings.
- Enter your annual savings or contributions.
- Enter your expected annual return rate and target withdrawal rate (default 4%).
- Select Calculate to see your Barista FIRE number and estimated years to reach it.
Related Calculations
Compare against a fully portfolio-funded retirement with the FIRE Calculator, or check how early you could stop contributing entirely with the Coast FIRE Calculator.