LeanFIRE vs FatFIRE
Design Your Financial Independence Journey for 2025
Understanding the FIRE Movement
FIRE (Financial Independence, Retire Early) is more than just an acronym - it's a lifestyle revolution. At its core, FIRE is about achieving financial freedom to live life on your own terms.
LeanFIRE focuses on achieving financial independence through minimalism and frugality. The goal is to accumulate enough assets to cover basic living expenses, allowing for early retirement with a simple lifestyle.
- Savings Target: $500K - $750K
- Annual Expenses: $25K - $40K
- Geographic Arbitrage Essential
- Timeline: 5-10 years
FatFIRE is for those who want to maintain or enhance their current lifestyle in retirement. It requires accumulating a larger nest egg to fund a more comfortable retirement with luxuries and conveniences.
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