Is Barista FIRE a Hybrid Model Between Fat and Lean FIRE?

Have you ever wanted to retire early but still keep working part-time to stay busy or keep some income? That’s exactly what Barista FIRE is all about.

It is a type of money habits that lead to freedom where you save enough money to partially retire, but still work a part-time or low-stress job to help cover your basic expenses. It gets its name from people who quit their full-time jobs and take part-time jobs, like working at a coffee shop, to keep some income and possibly get health insurance benefits.

With Barista FIRE, you’re not fully retired, but you also don’t have to work in a job you hate just to survive. It’s a balanced approach to early retirement.

How Barista FIRE Balances Fat and Lean FIRE

Barista FIRE is a middle ground between Fat FIRE and Lean FIRE.

• Fat FIRE is when you save millions to retire early with a luxurious lifestyle.
• Lean FIRE is when you retire early with a very small budget and live very simply.
• Barista FIRE lets you retire earlier than Fat FIRE while avoiding the tight budget of Lean FIRE.

You still need savings, but not as much as Fat FIRE. And you don’t have to cut your lifestyle as much as Lean FIRE because your part-time job fills the gap.

How to Calculate Barista FIRE

Barista FIRE works by combining your savings with a bit of ongoing income from part-time work. Here’s how to figure out your number:

a) Annual Expenses: Start by calculating how much money you will spend each year in early retirement. Include things like:

• Housing
• Food
• Transportation
• Health insurance
• Fun and hobbies

Let’s assume your total yearly expenses are $40,000.

b) Part-Time Income: Next, estimate how much money you’ll earn each year from part-time work. Maybe you plan to work 20 hours a week and earn $20,000 per year.

c) Apply the FIRE Formula: Now subtract your part-time income from your total expenses: $40,000 (expenses) – $20,000 (part-time income) = $20,000.

Now multiply the result by 25 (based on the 4% rule used in FIRE planning): $20,000 x 25 = $500,000.
So, to reach Barista FIRE, you would need $500,000 in investments and a job that pays $20,000/year.

Benefits of Barista FIRE

It offers many benefits, especially if full early retirement seems too hard or too far away:

• Retire sooner: You don’t need to save millions, so you can leave your full-time job earlier.
• Lower stress: A part-time job is usually less demanding than a full-time one.
• Health insurance access: Some part-time jobs still offer health insurance, which is a big bonus.
• Flexible lifestyle: You can travel more, enjoy hobbies, or explore new interests while still earning money.

It’s a great way to enjoy freedom without the pressure of having every dollar saved.

Difference Between Coast FIRE and Barista FIRE

Barista and Coast FIRE are both popular in the FIRE community, but they work differently.

With Coast FIRE, you stop saving for retirement and just let your investments grow. With Barista FIRE, you use your savings sooner and work part-time to fill the gap.

Summary

Barista FIRE is a smart, flexible way to move toward financial independence—without needing millions or living on rice and beans. It gives you the freedom to leave the 9-to-5 grind while still earning enough to cover your basics.

If you want more time, less stress, and a lifestyle that’s not too fancy but not too tight, Barista FIRE could be perfect for you. It’s a great option for people who want to work less and live more, without needing total financial independence right away.