Understanding Coast FIRE
Coast FIRE offers a balanced approach to financial independence, allowing you to maintain your lifestyle while your investments grow to support retirement.
What is Coast FIRE?
Coast FIRE is achieved when your current investments are sufficient to grow to your retirement number without additional contributions. This allows you to 'coast' to retirement while only covering current expenses.
Calculating Your Coast Number
Your Coast number is calculated by determining how much you need invested today for it to grow to your target retirement amount, based on expected returns and time horizon.
Investment Considerations
Coast FIRE typically assumes investment in broad market index funds with returns based on historical market performance. It's important to consider your risk tolerance and adjust expectations accordingly.