Full disclosure: I am a proud affiliate, meaning if you click a link and make a purchase, I may earn a commission at no extra cost to you. My recommendations are based on deep experience with and knowledge of the products I mention and I recommend products only when they are genuinely helpful and useful, not because of the small commissions I may receive. Please don’t spend any money on products I recommend unless you genuinely believe they will help you achieve your goals.

Have you ever thought about preparing a FIRE runway to prepare your break to Financial Independence, Retire Early?

If you’re feeling panicked about leaving your corporate job, you’re not alone. Many people feel the same way. 

But there are a few things you can do to prepare your FIRE runway, and to get ready for the transition. With a little effort, you’ll feel vastly more prepared for a FIRE lifestyle.

In this article, I’m going to give you a brief overview of why FIRE excites the masses, plus 12 simple ways you can prepare your own FIRE runway.

Why is FIRE so Captivating?

There are many good reasons to choose FIRE, and the FIRE movement is becoming increasingly popular.

More and more people are realizing that they don’t need to work until the ripe old age of 65 to live a comfortable life. In fact, many people are able to retire in their 30s, 40s, or even 50s by following the FIRE principles.

If you’re thinking about leaving your corporate job to pursue FIRE, you’re probably feeling a mix of excitement and nervousness. The idea of leaving a stable corporate job to pursue financial independence and early retirement (FIRE) can be daunting. 

On the one hand, you’re excited about the prospect of financial freedom and being able to do what you want with your time. On the other hand, you’re nervous about giving up the security of a steady paycheck.

After all, corporate jobs offer a number of benefits, including a steady paycheck and access to health insurance. However, the freedom and flexibility that comes with FIRE are often worth the risk.

Convinced it’s worth the risk for you? Then keep reading on to learn how you can prepare your FIRE runway.

12 Simple Steps to Prepare for Your FIRE Runway

1. Set a financial goal for your FIRE runway. 

The first step to preparing for FIRE is to set a financial goal. 

How much money do you need to have saved up in order to retire early? You’ll need to factor in expenses based on your lifestyle, where you live, and anything else that may impact your nest egg.

Consider where your expenses are at today as a starting point, but don’t forget to consider factors such as inflation, your healthcare needs, or anything else that may be relevant to you.

Once you know your goal, you can create a plan to reach it.

2. Make a budget. 

One of the best ways to save money is to create a budget. 

This will help you track your income and expenses so that you can see where your money is going. 

Once you know where your money is going, you can start to make changes to your spending habits to help you prepare your FIRE runway.

By the way, one of the best ways to ensure you’re on track is to calculate your net worth.

Psst… you can even grab my handy (and free!) net worth calculator here. You’ll need to copy the file to your Google Drive before you can make changes.

3. Increase your income. 

If you’re serious about FIRE, you’ll need to find ways to increase your income. This could mean getting a part-time job, starting a side hustle, or negotiating a raise at your current job.

It might also mean putting a wise investment strategy together.

4. Cut your expenses. 

Another way to save money is to cut your expenses. This could mean eating out less, canceling unnecessary subscriptions, or finding cheaper ways to get around.

You don’t need to trim anything and everything but cut the things that are no longer serving you. The more you can trim, the sooner you’ll have your FIRE runway prepared.

5. Invest your money to amplify your FIRE runway. 

One of the best ways to grow your savings is to invest your money. There are a variety of investment options available, so choose one that fits your risk tolerance and financial goals.

Psst… interested in getting started with stock market investing? I recommend reading The Bogleheads’ Guide to Investing.

6. Pay off debt. 

Debt can be a major obstacle to FIRE. If you have debt, make a plan to pay it off as quickly as possible. This will free up more of your money each month that you can then save or invest.

7. Make a plan for your time off. 

Once you’re on track to reach your FIRE goals, you’ll need to decide where you’re going to live and how you’re going to spend your time. You may want to travel, start a business, or volunteer your time.

Psst… for some inspiration, you may want to consider reading Strengths Finder to evaluate your innate strengths (it comes with a free quiz when you buy the book new!).

8. Take action. 

The most important step is to take action. Don’t wait until you have everything perfect before you start working towards your FIRE goals. The sooner you start, the sooner you’ll reach them!

Psst… if you need help keeping track of your progress, I recommend using ClickUp (it even has a free subscription tier!).

9. Get support and don’t be afraid to ask for help. 

Leaving your corporate job and retiring early can be a big change, so it’s important to get support. You may want to talk to friends and family, join a FIRE community, or hire a financial advisor.

If you’re feeling overwhelmed or confused about your finances, consider getting a financial advisor. A financial advisor can help you create a plan to reach your financial goals and make sure you’re on the right track.

There are a lot of resources available to help you prepare for FIRE. Don’t be afraid to ask for help when you need it.

10. Be patient. 

FIRE is a long-term goal. It takes time to save enough money and pay off debt. 

Don’t get discouraged if you don’t see results immediately. Just keep working towards your goals and you’ll eventually reach them.

11. Enjoy the journey, don’t be afraid to make mistakes, and stay positive. 

FIRE is a journey, not a destination. Along the way, you’ll learn a lot about yourself and your finances. Enjoy the process and don’t forget to have fun!

Don’t be afraid to make mistakes along the way. What’s important is that you learn from your mistakes and keep moving forward.

The FIRE journey can be long and challenging, but it’s important to stay positive. Remember why you committed to your FIRE goals and stay committed and focused.

12. Don’t give up. 

The journey to FIRE can be long and challenging, but it’s important to stay committed to your goals.

The FIRE journey is about living a life that you love. So enjoy the process and make the most of it.

Conclusion

Leaving your corporate job to pursue FIRE can be a daunting task, but it’s definitely possible with careful planning and execution. By following the 12 steps outlined above, you’ll increase your chances of success and achieve your financial goals sooner.

Think preparing your FIRE runway will help you FIRE Your Career? Check out the posts page for more ways you can FIRE Your Career and achieve financial freedom.

FIRE Your Career: Achieve Financial Freedom Through Your Career & Spend MORE Time Doing What You Love.

Products I recommend in this article:

The Bogleheads’ Guide to Investing (introductory stock market investing book)

Strengths Finder (book to help you uncover your innate strengths)

ClickUp (project management software to keep track of your progress toward your goals)