Emergency Fund Calculator
Calculate how large your emergency fund should be.
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Enter your values and click Calculate
How It Works
Emergency Fund Target = Monthly Expenses × Months of Coverage. The formula is deliberately simple: the goal is to replace your income for a fixed number of months so that you can meet essential obligations without borrowing. Monthly expenses should include every recurring cost you cannot easily cut in a crisis: rent or mortgage, utilities, groceries, insurance premiums, minimum loan payments, and essential transportation. Discretionary spending like dining out and subscriptions is typically excluded since you would cut those first during a genuine emergency. The result is the total lump sum that needs to be sitting in accessible savings.
Examples
Standard 6-Month Fund
$3,000/month in essential expenses, 6 months coverage.
Result: Target: $18,000.
Lean 3-Month Fund
$2,500/month in essential expenses, 3 months coverage.
Result: Target: $7,500.
Self-Employed 12-Month Fund
$4,500/month in essential expenses, 12 months for extra security.
Result: Target: $54,000.
Frequently Asked Questions
How many months should I save?
Most advisors recommend 3–6 months. Self-employed or single-income households may want 6–12.
What counts as monthly expenses?
Include rent/mortgage, utilities, groceries, insurance, minimum debt payments, and transportation.
Where should I keep my emergency fund?
A high-yield savings account — liquid and accessible, but separate from everyday spending.