Barista FIRE Calculator
Calculate how much you need to quit your high-stress job and work part-time instead. Escape the 9-5 sooner by combining investments with flexible work.
ACA subsidies may expire in 2026 — see which jobs offer health benefits below
Calculate Your NumberFree. No signup required.
Barista FIRE Calculator
Factor in part-time work, health insurance, and your real expenses
Excluding healthcare — that's calculated separately below
Health Insurance
Employer health benefits included
This is the core barista FIRE advantage — jobs like Starbucks, Costco, and UPS offer health insurance to part-time workers, saving you an estimated $7,200/year.
Part-Time Income
YOUR CALCULATION
($50,000 - $20,000) × 25.0 = $750,000
Barista FIRE Number
$750,000
Full FIRE Number
$1,250,000
You save $500,000 (40% less)
compared to full FIRE by earning $20,000/year part-time
Employer health benefits save you $180,000
on your FIRE number vs buying $7,200/yr insurance yourself
Your investments need to cover: $30,000/year
That's $2,500/month from your portfolio
What is Barista FIRE?
Barista FIRE is a financial independence strategy where you save enough to leave your demanding career and switch to enjoyable part-time work. The name comes from Starbucks, which offers health insurance to part-time employees - a key consideration for early retirees.
Unlike traditional FIRE (where you stop working entirely), Barista FIRE means you keep working - just on your own terms. Your part-time income covers part of your expenses, so you need less saved than full financial independence.
Retire Sooner
Need less saved than traditional FIRE because part-time income covers the gap.
Work You Enjoy
Choose low-stress work that fits your life - not just what pays the most.
Built-In Safety Net
Part-time income provides buffer if markets drop or expenses spike.
The Barista FIRE Formula
BARISTA FIRE NUMBER
(Annual Expenses - Part-Time Income) × 25
The formula uses the 4% rule (multiply by 25) but only for the portion of expenses your investments need to cover. Your part-time job handles the rest.
Example Calculation
Annual expenses: $50,000
Part-time income: $20,000/year (about $10/hr, 40hrs/week)
Gap to cover: $50,000 - $20,000 = $30,000
Barista FIRE number: $30,000 × 25 = $750,000
Compare this to full FIRE which would require $1,250,000 ($50,000 × 25).
Barista FIRE vs Coast FIRE
Both strategies let you escape the high-income grind, but they work differently:
Barista FIRE
- •Actively withdraw from investments
- •Part-time work covers income gap
- •Semi-retire sooner
- •Need ~$500k-$1M typically
Coast FIRE
- •Let investments grow untouched
- •Work covers all current expenses
- •Full retire later (traditional age)
- •Need less upfront (~$200k-$500k)
Which is right for you? If you want to semi-retire ASAP and don't mind part-time work indefinitely, choose Barista FIRE. If you want to stop mandatory saving now but keep working until traditional retirement, choose Coast FIRE.
2026 Healthcare Warning: The Subsidy Cliff
Critical planning consideration for US-based Barista FIRE practitioners
The enhanced ACA subsidies from the Inflation Reduction Act expire December 31, 2025. Unless Congress acts, the pre-2021 "subsidy cliff" returns in 2026.
Impact: 60-Year-Old Couple at $85,000 Income
2025 (Enhanced Subsidies)
~$7,225/year
Premium capped at 8.5% of income
2026 (If Cliff Returns)
$24,000+/year
Full market price (above 400% FPL)
That's a potential $16,000+/year increase in healthcare costs—enough to destroy a lean Barista FIRE budget.
2025/2026 Income Limits for ACA Subsidies (400% FPL)
| Household Size | 400% FPL (The Cliff) | 250% FPL (Best Subsidies) |
|---|---|---|
| 1 Person | $62,600 | $39,125 |
| 2 People | $84,600 | $52,875 |
| 3 People | $106,600 | $66,625 |
| 4 People | $128,600 | $80,375 |
Source: 2025 Federal Poverty Guidelines (ASPE). Income includes: W-2 wages + investment dividends + capital gains + traditional IRA withdrawals.
Your Options:
- • Get a job with benefits — Starbucks, Costco, REI offer part-time health insurance
- • Manage your MAGI — Use Roth withdrawals (don't count as income) and tax-loss harvesting
- • Spousal coverage — If your spouse works, get on their plan
- • Build a larger portfolio — Budget for full-price healthcare if subsidies disappear
How to Calculate Your Barista FIRE Number
Enter your current situation
Input your age, current savings, and annual expenses in our calculator.
Set your target retirement age
Choose when you want to transition to part-time work.
Estimate your part-time income
Think about realistic income from enjoyable work - $15-25k/year is common.
See your projection
The calculator shows when your investments can cover the gap between expenses and part-time income.
Ready to find your Barista FIRE number?
See exactly when you can make the switch to part-time work.
Open CalculatorFrequently Asked Questions
What is Barista FIRE?
Barista FIRE is a financial independence strategy where you save enough to quit your high-stress career and work a lower-paying, part-time job instead. Named after Starbucks baristas (who get health benefits at just 20 hours/week), it lets you escape the 9-5 sooner because your part-time income supplements your investment withdrawals. You typically need 30-50% less saved than traditional FIRE.
How do I calculate my Barista FIRE number?
The Barista FIRE formula is: (Annual Expenses - Annual Part-Time Income) × 25. For example, if you spend $50,000/year and earn $20,000 from part-time work, you need ($50,000 - $20,000) × 25 = $750,000 invested. This uses the 4% safe withdrawal rate, but only for the portion your investments must cover.
What happens to ACA subsidies in 2026?
The enhanced ACA subsidies from the Inflation Reduction Act are set to expire December 31, 2025. If Congress doesn't act, the "subsidy cliff" returns: households earning above 400% of the Federal Poverty Level ($62,600 single / $84,600 couple in 2025) lose ALL subsidies. A 60-year-old couple could see premiums jump from ~$7,000/year to $24,000+/year. This is why many Barista FIRE practitioners target jobs with benefits.
What income limit for ACA subsidies in 2026?
If the enhanced subsidies expire, the 400% FPL cliff returns. For 2025/2026: Single person: stay under $62,600/year. Couple: stay under $84,600/year. Family of 4: stay under $128,600/year. Important: This includes ALL income—part-time wages PLUS investment withdrawals, dividends, and capital gains. Managing your MAGI (Modified Adjusted Gross Income) becomes critical.
Does Starbucks still offer health insurance for part-time workers in 2026?
Yes, as of 2026 Starbucks still offers health benefits to "partners" working an average of 20 hours/week (240 hours over 3 months). Benefits include medical, dental, vision, and their "Future Roast" 401(k) matching. However, the fast-paced environment and physical demands aren't for everyone. Costco, REI, and UPS also offer part-time benefits with different hour requirements.
What is the difference between Barista FIRE and Coast FIRE?
Critical distinction: With Barista FIRE, you WITHDRAW from investments now while working part-time (portfolio shrinks or stays flat). With Coast FIRE, you DON'T touch investments—you let them grow untouched while working covers 100% of expenses. Barista FIRE lets you semi-retire sooner but requires more savings ($500k-$1M). Coast FIRE needs less upfront ($200k-$400k) but you work longer.
How much do I need for Barista FIRE?
It depends on your expenses and expected part-time income. Most people need between $500,000 and $1,000,000. Quick examples: $50k expenses with $20k income = $750k. $40k expenses with $15k income = $625k. $60k expenses with $25k income = $875k. Use our calculator to find your exact number based on your situation.
Is Barista FIRE risky?
The main risks are: (1) Healthcare costs—especially if ACA subsidies expire and you don't have employer benefits; (2) Sequence of returns risk—if markets drop 20% in year 1, your part-time work becomes a hedge (you can work more, withdraw less); (3) Part-time job loss—have a 6-month emergency fund. The built-in income flexibility actually makes Barista FIRE MORE resilient to market crashes than traditional FIRE.
What jobs work well for Barista FIRE in 2026?
For BENEFITS: Starbucks (20 hrs/wk), Costco (~24 hrs/wk), REI (20 hrs/wk), UPS (varies), Lowe's (varies). For FLEXIBILITY without benefits: freelance consulting, tutoring, seasonal work (National Parks, ski resorts), remote part-time roles. Warning: Self-employment income is hit with 15.3% SE tax, while W-2 splits this cost. A $20/hour freelance gig nets less than $20/hour at Starbucks after taxes.
What is a good Barista FIRE number by age?
Your number depends more on expenses and part-time income than age. But rough targets: Age 35-40: $400-600k (with $20k part-time income, covers ~$35-45k expenses). Age 45-50: $600-800k. Age 50-55: $700-900k. Younger retirees may want higher numbers to account for (1) longer withdrawal period, (2) higher healthcare costs before Medicare at 65, and (3) potential ACA subsidy changes.
Best Jobs for Barista FIRE (2026)
These companies offer health insurance to part-time workers — crucial if ACA subsidies change.
| Company | Min. Hours | Waiting Period | Key Perks |
|---|---|---|---|
| Starbucks | 20 hrs/week | 3-6 months | Medical, dental, vision. "Bean Stock" equity. ASU tuition coverage. |
| Costco | ~24 hrs/week | 180 days | High wages ($17+), time-and-a-half Sundays. Competitive to get hired. |
| REI | 20 hrs/week | Varies | Generous gear discounts. Great for outdoor enthusiasts. |
| UPS | Varies | Immediate/Short | Union benefits, often 100% premium coverage. Physically demanding. |
| Lowe's | Varies | 0-90 days | Medical/dental/vision. Flexible scheduling. |
Lifestyle Jobs (No Benefits)
- • Freelance consulting in your field
- • Tutoring / teaching
- • Seasonal (ski resorts, National Parks)
- • Remote part-time roles
Warning: Self-employment = 15.3% SE tax
Low-Stress "Coast" Jobs
- • School crossing guard
- • Library assistant
- • Museum docent
- • Golf course starter
Rigid schedules, low pay, but minimal stress
The Real Talk: Working at Starbucks sounds romantic, but it's physically demanding (standing 8 hours, repetitive stress). Many Barista FIRE practitioners find low-autonomy retail more stressful than their old corporate jobs. Consider whether you actually enjoy customer service before committing to a benefits-driven job.
Stop dreaming. Start calculating.
Find out exactly how much you need to escape the 9-5 and work on your own terms.
Calculate Your Barista FIRE NumberNot financial advice. This calculator is for educational purposes only and does not constitute financial, tax, or investment advice. Results are estimates based on the inputs you provide and historical data. Consult a qualified financial advisor for personalized guidance. Read our editorial guidelines.