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Tools & Methodology 3 min read

How to Use Factor Tilts in Your FIRE Simulation

Toggling factor tilts in our simulator changes the FI date materially. Here's how to interpret what you see.

TL;DR

In our simulator, switching from market-only to a multi-factor tilt typically moves the median FI date forward by 1-3 years across most cohorts. The worst-case cohort improvement is smaller and sometimes zero.

In short

Use the factor comparison view to see the FI-date distribution side by side. The median move is the headline; the worst-case move is the more important number for safety. Some factor tilts that look great on average barely help in the worst sequences.

More on this soon

We're working on a full deep-dive for this article — including historical data, charts, and worked examples. In the meantime, you can run a free simulation to explore the underlying numbers yourself.

Frequently asked questions

Which factor combination gets to FI fastest?
Historically, a small-value + profitability + market combination wins narrowly. See our [factor investing for FIRE article](/blog/factor-investing-fire-fastest) for the full ranking.
Should I assume factor premiums will continue?
Discount them. Plan as if future factor premiums will be 50-70% of historical. The premiums probably continue but in shrunken form.

Stress-test your own FIRE plan

FIRE Wealth OS runs your savings rate and expenses against every historical market starting point since 1871. Free to use, no card required.