Emergency Fund Calculator
Calculate how much you need in your emergency fund based on your expenses and risk factors.
Monthly Expenses
Your Savings
Risk Factors
Why Build an Emergency Fund?
Why 3-6 Months?
Financial experts typically recommend 3-6 months of expenses because it takes the average job seeker about 3 months to find new employment. Having 6 months provides additional buffer for unexpected circumstances like medical issues or economic downturns.
Building Your Fund Gradually
Start with a goal of $1,000 as a "starter" emergency fund, then work toward 3 months of expenses. Set up automatic transfers to a dedicated savings account. Even small, consistent contributions add up over time through the power of habit.
Where to Keep Your Emergency Fund
Keep your emergency fund in a high-yield savings account (HYSA) that offers easy access while earning interest. Avoid CDs or investment accounts that may have penalties or fluctuate in value. The goal is liquidity and stability, not maximum returns.
When to Use It
True emergencies include job loss, major medical expenses, essential home repairs, or unexpected car repairs. Sales, vacations, and planned expenses are not emergencies. Having a separate savings fund for planned expenses helps protect your emergency fund.
Learn More: CFPB's Guide to Building an Emergency Fund
This calculator provides estimates for educational purposes only. Consider consulting a financial advisor for personalized advice.