Coast FIRE: The Easiest Financial Independence Route To Pursue

FINANCIAL FREEDOM COUNTDOWN

The traditional Financial Independence Retire Early (FIRE) movement is a relatively simple one to understand.

In this model, individuals are expected to save 25 times their annual expenses in income-producing assets to retire as early as possible.

Coast FIRE is an alternative way to fill your retirement accounts and retire while incorporating flexibility in your retirement savings plan.

Easiest Financial Independence Route To Pursue

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What Is Coast FIRE? The Coast FIRE movement is geared around the idea that you can frontload retirement savings and stop contributing to retirement accounts.

How Does Coast FIRE Differ From Traditional FIRE? The goal of traditional FIRE is to allow you to achieve financial freedom as early as possible. According to the basic principles of the 4 percent safe withdrawal rate rule of retirement, you can achieve financial independence based on your nest egg.

Coast FIRE is a slight offshoot of traditional FIRE. It involves a massive acceleration of your retirement contributions. In Coast Fire, you frontload your retirement contributions into 10-15 years of savings. From there, you can stop adding to your retirement account.

The main difference between traditional FIRE and Coast FIRE is how long you make the contributions. Under traditional FIRE, you make as many contributions to your retirement account as possible until you reach the age you can retire at an early age.

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