Emergency Fund Calculator

Calculate how much emergency savings you need to create a financial safety net for unexpected expenses, job loss, or emergencies

Enter Your Financial Details

Monthly Essential Expenses

Housing Expenses ₹0

Living Expenses ₹0

Debt & Other Expenses ₹0

Your Emergency Fund Results

Emergency Fund = Total Monthly Expenses × Number of Months [citation:1]
Total Monthly Essential Expenses ₹40,000
Emergency Coverage Duration 6 months
Required Emergency Fund ₹240,000
With your current savings rate 48 months
Monthly savings needed to reach goal in 12 months ₹20,000/month

Emergency Fund Recommendations

Financial experts typically recommend saving 3-6 months of essential living expenses for your emergency fund [citation:4][citation:6]. The exact amount depends on:

  • Job stability and income sources
  • Number of dependents
  • Existing debt obligations
  • Availability of other financial resources

Where to Keep Your Emergency Fund [citation:1][citation:6]

Your emergency savings should be in a liquid, low-risk account that you can access quickly when needed. Consider:

  • High-yield savings accounts
  • Money market accounts
  • Short-term fixed deposits

Avoid keeping emergency funds in high-risk investments like stocks or cryptocurrency [citation:1].

Tips for Building Your Emergency Fund

Start Small & Be Consistent

Even saving a small amount regularly adds up over time. Automate transfers to your emergency fund each payday to build savings discipline [citation:1].

Use Windfalls Wisely

Direct tax refunds, bonuses, or gift money into your emergency fund to accelerate your progress [citation:1][citation:4].

Review & Adjust Regularly

Reassess your emergency fund needs after major life changes like marriage, having children, or buying a home [citation:1].

Account for Inflation

Periodically increase your emergency fund target to keep pace with rising living costs [citation:1].

The 3-6-9 Rule for Emergency Funds [citation:4]

This guideline helps determine how many months of expenses to save:

Disclaimer: This emergency fund calculator provides estimates for educational and informational purposes only. The results are based on the information you provide and standard financial planning guidelines. We recommend consulting with a qualified financial advisor for personalized advice tailored to your specific financial situation. The calculator does not guarantee financial outcomes or account for all individual circumstances.