What is the F.I.R.E. Movement?

A few weeks ago we asked you what you wanted to understand better about money and this week we’re answering another of your questions:

“Is FIRE a good idea?”

FIRE, or “Financial Independence Retire Early”, is a movement that encourages extreme frugality and saving so that you can retire much earlier than the traditional retirement target age of 65. Is it a good idea? It can be, yes. If your goals align with those of the FIRE movement then yes, it’s a good framework for achieving those goals. But most people can’t afford to save up to 70% of their income and it does mean a lot of sacrifice that you just may not want to make (even if you can).

We have more on the FIRE movement here if you’re interested. What’s certain is that the core ideas of saving now for the future, having a plan that you stick to, and spending money purposefully are good ideas for everyone whether you’re a FIRE fan or not.