Emergency Fund Calculator
An emergency fund covers unexpected costs — a broken boiler, a car repair or a month without work. Most advisers suggest 3 to 6 months of essential outgoings.
Enter your monthly essentials, how many months you want to cover, and what you can save each month.
How the calculation works
We believe numbers should be transparent. Here is the formula behind this calculator.
Worked example
Worked example: £1,500/month essentials, 6-month target
Important assumptions
- "Essential expenses" should be the minimum needed to get by, not your whole lifestyle.
- The fund should sit somewhere instant-access, so you can reach it in an emergency.
- If you are repaying high-interest debt, it may be worth clearing that first.
Rates & official sources
Every calculation is based on the official rates and rules published by GOV.UK and HMRC.
Frequently asked questions
How much should my emergency fund be?
Three months of essentials is a sensible minimum; six months is more comfortable if your income is irregular or you are self-employed. Build it step by step rather than all at once.
Where should I keep an emergency fund?
An instant-access savings account or Cash ISA, so the money is there when you need it. Avoid anything with withdrawal penalties or a lock-in period.
Debt or emergency fund — which first?
It depends on the debt. Clear high-interest debt (credit cards, payday loans) first. Low-cost debt like a mortgage can wait while you build a small buffer of one month's essentials.
Related calculators
Savings Calculator
Project how your savings grow with monthly contributions and compound interest over time.
View calculatorBudget Calculator
A simple 50/30/20 budget: needs, wants and savings from your take-home pay.
View calculatorISA Calculator
Project tax-free ISA savings growth with monthly contributions and compound interest.
View calculatorRelated guides
New to the topic? Read a plain-English guide on savings & investments, with worked examples and tips.
How compound interest works
The eighth wonder of the world, with real numbers.
Read the guide Personal FinanceHow much should I save?
A realistic savings target for your income and goals.
Read the guide Personal FinanceBuilding an emergency fund
Three to six months of costs — and how to get there.
Read the guide TaxCapital Gains Tax explained
How Capital Gains Tax works — the £3,000 allowance, the 18% and 24% rates, and when you pay it.
Read the guide TaxSavings interest tax explained
The Personal Savings Allowance and tax on savings interest — £1,000 for basic-rate, £500 for higher-rate, and what happens above.
Read the guideThese calculations are estimates for guidance only and are not professional financial, tax or legal advice. UK rates and rules change, so always verify important figures with official GOV.UK / HMRC information or speak to a qualified professional. See our full disclaimer.