FIRE (Financial Independence, Retire Early)
"Financial Independence, Retire Early." A loose movement built on aggressive savings rates (often 50%+ of income) and index investing, with the goal of accumulating enough, usually 25× annual spending, that work becomes optional. The "RE" gets most of the attention but the "FI" is the real win: choice over labor.
Spending €30,000/year, FIRE means a portfolio of ~€750,000 (30,000 × 25). At a 50% savings rate this is reachable in roughly 17 years from zero.
Money in motion
Compound interest
Interest paid not just on what you put in, but on the interest you have already earned.
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The rate at which the general price of things rises. Same money, less purchasing power.
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The percentage something pays, or costs, per year.
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The gain (or loss) on an investment, usually expressed as a percentage per year.
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