Let's Talk About The CoastFIRE Epidemic
7/1/20261 hr 4 min
Coast FIRE has exploded in popularity, but is it really the financial freedom strategy people think it is? In this episode, Brian and Bo break down how Coast FIRE works, who it benefits, and the biggest retirement planning risks many people overlook. You'll learn how investment growth, compound interest, inflation, savings rates, and future lifestyle changes all affect whether you can truly stop saving for retirement early. Using real-world examples and practical retirement planning scenarios, we explain why reducing your savings rate may be smarter than quitting altogether—and how to avoid one of the biggest mistakes future retirees make: coasting too soon.
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Bring confidence to your wealth building with simplified strategies from The Money Guy. Learn how to apply financial tactics that go beyond common sense and help you reach your money goals faster. Make your assets do the heavy lifting so you can quit worrying and start living a more fulfilled life.
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Clips
Transcript preview
First 90 secondsBrian Preston· Host0:00
[gentle music] Quit saving money? Everything you need to know about Coast FIRE.
Bo Hanson· Host0:10
And, Brian, I am so excited to talk about this because oftentimes there are good things that come out of movements, and there are good and exciting things that are worth talking about and worth taking advantage of. But sometimes I think there can possibly be too much of a good thing, or maybe even a misunderstanding of how that good thing should be rightly applied.
Brian Preston· Host0:33
Well, look, the FIRE movement, financial independence retire early. We've always, you know... People call us the FIRE extinguisher- [laughs] ... 'cause w- that whole retire early i- is a little unique. I always say people always go to the next endeavor.
Bo Hanson· Host0:45
FIRE movement.
Brian Preston· Host0:45
You know, it's that FIRE movement. But it is one of those things, one that seems to really be kind of in the conversations if you, if you dabble in the world of, the wonderful world of personal finance, is Coast FIRE.
Bo Hanson· Host0:57
That's right.
Brian Preston· Host0:58
And, and I under- I kind of can get this, is because it, it, you know, this is one of those things where I can kind of save heavily, and then I can see light at the end of the tunnel and take my foot off the accelerator. How does this work, Bo?
Bo Hanson· Host1:09
Yeah, I think, uh, if you're looking for the Webster's definition of what Coast FIRE is, we didn't actually pull it, but this is what it is. [laughs] It's when your current investments are projected at the level they are at today to grow to 25 times your annual expenses by a traditional retirement age without you contributing any additional money. It's the idea that I'm gonna save, save, save, save, save, build, build, build, build, build, and once I hit a number,