Barista FIRE vs Coast FIRE: Which Path Fits You? (2026 Comparison)
Two popular paths to escaping the 9-5 grind. Here's how they compare and which one fits your situation.
The Key Difference
Coast FIRE
Save $200-400k → let it grow untouched → retire at 60-65. You work to cover expenses, but stop saving.
Barista FIRE
Save $500k-1M+ → withdraw 3-4% annually → semi-retire now. Work part-time to cover the gap.
Quick Comparison
| Coast FIRE | Barista FIRE | |
|---|---|---|
| Typical savings needed | $200k - $400k | $500k - $1M+ |
| Withdraw from investments? | No - let it grow | Yes - 3-4% annually |
| Work requirement | Cover current expenses | Part-time to cover gap |
| Full retirement age | Traditional (60-65) | Never needed if income continues |
| Best for | Young savers, career flexibility | Those wanting immediate semi-retirement |
What is Coast FIRE?
Coast FIRE means you have saved enough that compound interest will grow your investments to your retirement number - without any additional contributions.
The key: you do not touch the money. It stays invested and compounds for decades while you work a job that covers your current expenses. No more pressure to save - that chapter is closed.
Coast FIRE Example
Alex, 32, has $250,000 invested. At 7% annual returns, this grows to ~$1.9M by age 65. If Alex needs $1.5M to retire, they have already hit Coast FIRE. They can take a lower-paying job, work part-time, or pursue a passion project - as long as it covers current bills.
Learn more: What is Coast FIRE? The Complete Guide
What is Barista FIRE?
Barista FIRE (named after Starbucks baristas who get benefits even part-time) means you have saved enough to semi-retire now - working part-time while your investments cover the gap.
Unlike Coast FIRE, you are actively withdrawing from your portfolio. The formula:
BARISTA FIRE FORMULA
(Annual Expenses - Part-Time Income) × 25
Barista FIRE Example
Jordan spends $50,000/year and earns $20,000/year from part-time work. The gap is $30,000. Using the 4% rule: $30,000 × 25 = $750,000. With $750,000 invested, Jordan can semi-retire immediately, withdrawing $30k/year while working part-time.
Learn more: Barista FIRE Calculator
Key Differences
1. Investment withdrawals
This is the fundamental difference. With Coast FIRE, your money stays invested and compounds untouched. With Barista FIRE, you withdraw regularly to cover living expenses. This affects how much you need and the long-term trajectory of your portfolio.
2. Timeline to freedom
Coast FIRE is often achievable earlier because you need less saved. However, you still work until traditional retirement. Barista FIRE requires more savings but gives you partial freedom immediately.
3. Work requirements
Both require continued work, but the purpose differs:
- Coast FIRE: Work covers 100% of current expenses
- Barista FIRE: Work covers the gap between expenses and safe withdrawals
4. Risk profile
Coast FIRE has more buffer for market downturns because you are not withdrawing. If markets drop, you have time for recovery. Barista FIRE is more exposed to sequence-of-returns risk since you are withdrawing during potential downturns.
Not sure which you have hit?
Use our calculator to see your Coast FIRE and Barista FIRE numbers.
Try the CalculatorHow Much You Need
Here is a comparison for someone who spends $50,000/year and plans to retire at 60:
| Current Age | Coast FIRE Number | Barista FIRE Number* |
|---|---|---|
| 25 | $152,000 | $750,000 |
| 30 | $213,000 | $750,000 |
| 35 | $299,000 | $750,000 |
| 40 | $420,000 | $750,000 |
*Assuming $20k/year part-time income. Barista FIRE number does not change with age.
Notice: Coast FIRE numbers vary by age (more time = more compounding = lower target). Barista FIRE stays the same regardless of age since you are withdrawing immediately.
Pros and Cons
Coast FIRE
Pros:
- + Lower savings requirement
- + Achievable earlier in life
- + Less market risk (no withdrawals)
- + Psychological freedom from saving
Cons:
- - Still need full-time income for expenses
- - Traditional retirement age
- - Dependent on long-term market returns
Barista FIRE
Pros:
- + Semi-retire immediately
- + Work fewer hours now
- + Part-time income provides buffer
- + More lifestyle flexibility now
Cons:
- - Higher savings requirement
- - Sequence-of-returns risk
- - Still dependent on part-time work
- - Healthcare can be challenging
Which Should You Choose?
Choose Coast FIRE if:
- You are young (20s-30s) with decades for compounding
- You want freedom from the pressure to save ASAP
- You do not mind working but want more career flexibility
- You want a lower, more achievable target
- You are comfortable with traditional retirement age
Choose Barista FIRE if:
- You want to cut your hours or quit your stressful job now
- You can realistically earn part-time income you enjoy
- You have access to healthcare outside of full-time employment
- You have a larger nest egg already
- You value immediate lifestyle change over long-term optimization
Or do both:
Many people hit Coast FIRE first, enjoy the mental freedom, then keep saving until they reach Barista FIRE. It is not either/or - they are milestones on the same journey.
Find your numbers
Calculate both your Coast FIRE and Barista FIRE numbers to see where you stand.
Open CalculatorFrequently Asked Questions
What is the difference between Barista FIRE and Coast FIRE?
Coast FIRE: You stop saving and let investments compound untouched until traditional retirement (60-65). Barista FIRE: You semi-retire now, withdrawing 3-4% annually while working part-time. Coast FIRE needs less money ($200-400k); Barista FIRE needs more ($500k-1M+) but gives immediate freedom.
How much do I need for Barista FIRE vs Coast FIRE?
Coast FIRE: A 30-year-old needs ~$200k for a $1.5M retirement goal (7% returns, retire at 60). Barista FIRE: If you spend $50k/year and earn $20k part-time, you need $750k (covering the $30k gap at 4%). Barista FIRE numbers stay constant; Coast FIRE varies by age.
Can I do both Barista FIRE and Coast FIRE?
Yes, they are milestones on the same journey. Many people hit Coast FIRE first ($200-400k), enjoy reduced stress, then keep saving until Barista FIRE ($500k+). You can also reach Coast FIRE and transition to Barista FIRE when ready to cut hours.
Which is better for someone in their 30s?
Coast FIRE is often more achievable in your 30s due to lower savings requirements and decades of compounding ahead. A 30-year-old needs only ~$200k for Coast FIRE vs $750k+ for Barista FIRE. Hit Coast FIRE first, then decide if you want to push for Barista FIRE.
What is the risk difference between Barista FIRE and Coast FIRE?
Coast FIRE has lower risk because you are not withdrawing - market downturns have decades to recover. Barista FIRE faces sequence-of-returns risk: poor returns early in retirement can deplete your portfolio faster. Barista FIRE requires more careful planning and possibly a larger buffer.
Do I still need to work with Coast FIRE?
Yes, but differently. With Coast FIRE, you work to cover 100% of current living expenses - but you no longer need to save for retirement. This means you can take a lower-paying job, work part-time, or pursue passion projects. With Barista FIRE, you work to cover only the gap between expenses and safe withdrawals.