💡 Useful Concepts (FIRE)

• FIRE Number: The amount of money you need to have invested to become financially independent. It's calculated as 25 times your annual expenses, based on the 4% Rule.
• The 4% Rule: A guideline stating you can safely withdraw 4% of your initial investment portfolio each year to cover living expenses without running out of money.
• Savings Rate: The percentage of your after-tax income that you save and invest. This is the single most important factor determining how quickly you can reach FIRE.