The term "FIRE" stands for "Financial Independence, Retire Early." It is a movement that encourages individuals to save and invest aggressively to achieve financial independence at a young age. By living frugally and maximizing income, participants aim to accumulate enough wealth to retire much earlier than the traditional retirement age. FIRE advocates often focus on reducing expenses and increasing savings rates, sometimes exceeding 50% of their income. This approach allows them to build a substantial investment portfolio, often through vehicles like stocks, bonds, and real estate. The ultimate goal is to have enough passive income to cover living expenses without needing to work.