FIRE Calculator
Canada 2026
Calculate your FIRE number using the 4% Safe Withdrawal Rate, model your portfolio growth, and see exactly when you can retire early — with CPP and OAS factored in.
Your FIRE plan
FIRE calculations use the 4% safe withdrawal rate from the Trinity Study. Actual returns, inflation, and tax treatment may differ. CPP/OAS amounts are estimates. Not financial advice. Terms →
The Trinity Study found that withdrawing 4% of your portfolio annually (adjusted for inflation) survived 95%+ of historical 30-year periods in US markets. For Canadian portfolios and longer retirements (40+ years), many FIRE practitioners use 3.5%. This calculator uses 4% as the base — adjust your spending to be conservative.
CPP at 65 averages ~$750/month. OAS adds another $742/month. Combined $1,492/month or $17,904/year means you need $447,600 less in your portfolio (at 4% SWR). This is why early retirees who can't access CPP until 60+ need a larger portfolio for the gap years.
In FIRE, tax management matters enormously. Draw from TFSA first (tax-free). Then carefully withdraw RRSP amounts to stay in lower brackets. Keep capital gains assets in non-registered accounts. A financial planner can optimize your drawdown order for minimum lifetime tax.
At a 50% savings rate, you can retire in about 17 years. At 75%, just 7 years. The magic of high savings rates is that they simultaneously grow your portfolio AND demonstrate you can live on less — both reducing your FIRE number and accelerating reaching it.
Frequently asked questions
What is the FIRE number formula?
FIRE number = annual spending ÷ 0.04. If you spend $60,000/year, you need $1,500,000 saved. CPP and OAS reduce the annual spending your portfolio needs to cover, which reduces your FIRE number — but only once those payments start (at 60 earliest for CPP, 65 for OAS).
What is a realistic return rate for Canadian investors?
Historical Canadian equity markets (TSX) have averaged roughly 7-8% annually over long periods. A balanced portfolio (60% equity, 40% bonds) has averaged around 5-6%. For planning purposes, many use 5-6% to be conservative, especially given current high bond yields included in the mix.
Is the 4% rule safe for a 40-year retirement?
The Trinity Study modelled 30-year retirements. For 40-50 year retirements typical of early retirees, many researchers suggest 3.5% (28.5× spending) or even 3.3% (30× spending) as safer withdrawal rates. This calculator uses 4% as a starting point — consider building in a buffer if you're planning to retire very early.