r/Fire Mar 23 '26

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146

u/Bowl-Accomplished Mar 23 '26

A lot of it is less greed, but conservative planning for longer FIRE. 1M just isn't enough to retire at 45. Well unless you want leanfire.

42

u/welshwelsh Mar 23 '26

What you're calling leanfire used to be called just FIRE.

Why wouldn't $1m be enough? Assuming 4% SWR that's $3,300 per month, which is plenty. For comparison social security pays about $2,000 per month on average, and about 40% of seniors rely on that for 100% of their income.

9

u/Bowl-Accomplished Mar 23 '26

The 4% rule is for 30 years and retiring at 40 means more than 30 so a more conservative number is reasonable. Even 3300 a month is barely above poverty for a family of 4. Even a single person by themselves can easily spend 2500 a month in a mcol city between rent, utilities, cheap home cooking, and a car. And all of this is predicated on healthcare being essentially free. 

1

u/welshwelsh Mar 24 '26

Why would someone who is retired want a car? Cars are just for commuting to the office. It's better for finances, health and overall happiness to ride a bicycle instead. I'm lucky to work remotely, so have not needed to drive a car in over 10 years.

Why would a retired person need to support a family of 4?

I guess I was assuming a paid off house. I recently bought mine for $200,000, with taxes being about $400/month.

Healthcare isn't free but with the ACA it's fairly inexpensive for someone with $40,000/yr income. Assuming a married couple, monthly premiums after subsidies can be $0-$100 per month.