But first, you need to know how your current savings habits stack up. Personal finance blogger Zach of Four Pillar Freedom created a simple chart that breaks down how close you are to financial independence, or early retirement, based on how much you're able to save and invest each month.
The chart assumes a few things:
- You're starting with absolutely nothing in savings
- A seven percent annual growth rate
- Your lifestyle will stay in the same in retirement
So how close are you to early retirement? Check it out: