Suze Orman Says Retiring Early Is the 'Biggest Financial Mistake' You'll Ever Make — 'You Might Need $10 Million…Just So You'll Be Fine'

Back in 2018, when gasoline was still under $3 and your grocery bill didn't make you break out in hives, Suze Orman went on the "Afford Anything" podcast to share her unfiltered thoughts on the financial independence, retire early movement—better known as the FIRE movement. 

"I hate it. I hate it. I hate it. And let me tell you why," she told host Paula Pant.

Then came the mic drop. Orman didn't just question retiring early—she called it a massive error in judgment.

"I think it is the biggest mistake, financially speaking, you will ever, ever make in your lifetime."

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And if you're thinking she was only warning people with shaky finances or no backup plan, think again. Suze made it clear that even multimillionaires aren't immune from future uncertainty.

"Listen, if you have $20 [million], $30 [million], $50 [million]—I'm not kidding—I have a few of those people. I'll give you permission," she said.

"But if you don't have at least $5 million, really, you might need $10 million to retire early today…" she said. 

Based on her math, you'd need around $350,000 a year after taxes to cover care, living expenses, and everything else. If you only have $1 million earning 4%, that's just $40,000 a year—nowhere near enough. 

To generate the kind of income she's talking about without dipping into your savings, Orman calculated that you'd need at least $5 to $6 million. "So really you might need $10 million just so you, if you're making 5% on that money and after tax, you'll be fine without touching your principal."

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And let's pause on that. She said that in 2018—before the pandemic, before 7% inflation, and before the $20 minimum wage trend swept parts of the country. That was back when average rent was still barely four digits in many cities.

So if Suze thought you'd need $10 million just to be "fine" back then, what would she say now? With rents up 25% in major cities since the pandemic, and everything from car insurance to rotisserie chickens doubling in cost, early retirement might look less like sipping coffee on a beach and more like praying your HVAC doesn't break in July.

Sure, plenty of people in the FIRE community have successfully retired in their 30s or 40s with way less than $10 million. But Orman's point wasn't about whether it's possible—it's about whether it's sustainable through a few recessions, health crises, and bad market years.

"You get hit by a car. You get cancer. You get divorced. You have a parent that you have to take care of," she warned. "Things happen."

See Also: Can you guess how many retire with a $5,000,000 nest egg? The percentage may shock you.

She wasn't fear-mongering. She was reminding listeners that life throws curveballs—and that financial independence isn't just about math. It's about margin. It's about resilience.

You don't have to agree with Suze Orman to admit she made a good point. If $5–$10 million was her baseline for early retirement seven years ago, in what now feels like the "old economy," then the FIRE finish line might be a little farther away than some people want to believe.

So if you're banking on quitting work forever in your 30s because you hit a $1 million net worth… you might want to re-run the numbers. Suze already has.

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