Tools · Emergency Fund
How big should your emergency fund be?
The classic "3 to 6 months" rule is a starting point — your real number depends on your expenses and how stable your income is. Here's yours, and how close you are.
—
Keep an emergency fund liquid (high-yield savings), separate from your quit fund. Education, not financial advice.
Frequently asked questions
How much should I have in an emergency fund?
A common guideline is 3–6 months of essential expenses. Aim for 3 with stable dual income and few dependents, and 6–12 if you're a single earner, self-employed, or have dependents or variable income.
How is an emergency fund calculated?
Multiply your essential monthly expenses — rent/mortgage, food, utilities, insurance, minimum debt payments — by the months of cover you want. Use bare-bones survival spending, not your full lifestyle budget.
Where should I keep my emergency fund?
In a safe, liquid account you can access instantly without losing value — typically a high-yield savings account. Don't invest it in stocks; you may need it exactly when markets are down.
Is an emergency fund the same as a quit fund?
No. An emergency fund covers shocks while you're still employed. A quit fund must also cover lost income, health insurance and a longer runway, so it's usually larger — size the emergency layer first here.