Barista FIRE calculator

A barista FIRE calculator sizes the portfolio that covers the gap between your spending and a part-time income, so full-time work can stop.

What is Barista FIRE

Semi-retirement: withdrawals plus a part-time income cover spending. You leave full-time work, but some earned income is still in the plan. On the defaults, $60,000 of spending minus $25,000 of part-time income is $35,000 a year — $875,000 at 4%, plus the healthcare bridge. Coast FIRE on the same $60,000 spend is the full $1,500,000 discounted back, with no draw until retirement: the Coast FIRE calculator. Healthcare until Medicare is usually the extra bill — that is why this barista FIRE calculator has a premium field. Lean and Fat FIRE are the full-independence numbers on the same scale: Lean and Fat.

The calculator

Barista FIRE number$1,008,421$35,000 a year to cover after part-time income
Full FIRE number$1,500,000If the part-time income stopped
Still needed$808,421To reach it today
Healthcare bridge$133,42115 years to Medicare, capitalised at the withdrawal rate
Investments at semi-retire age$415,786If you add nothing for 15 years

$60,000 of spending minus $25,000 of part-time income is $35,000 a year, which at 4.0% needs $875,000 plus $133,421 for the healthcare bridge, $1,008,421 in total. Full FIRE without that income is $1,500,000.

How it works

Barista FIRE is the 4% (or other) rule applied to the gap, not to full spending. Coast FIRE is the cousin that keeps working full-time and stops contributing; this one drops to part-time and starts drawing. Healthcare is the present value of net ACA (or other) premiums from the semi-retire age to Medicare, added on top of that capitalised gap. The Barista FIRE health-insurance guide is the long form; the Coast FIRE calculator is the cousin that keeps working full-time.

Assumptions

Part-time income is treated as reliable and pre-tax. Healthcare is the net premium after any subsidy, not the sticker price. If that job or that subsidy disappears, you need the full FIRE number. One real return, no fees.

Frequently asked questions

What is Barista FIRE?
Semi-retirement: a portfolio large enough that withdrawals plus a part-time income cover spending. You leave full-time work, but some earned income is still part of the plan.
How is this different from Coast FIRE?
Coast FIRE assumes you stop contributing and keep covering today’s bills from work until a later retirement date. Barista FIRE assumes you drop to part-time and start drawing the gap from the portfolio now.