An emergency fund is the foundation of every financial plan. Without one, any setback — job loss, medical bill, car breakdown — forces you into debt or derails your investments. Here's exactly how much you need.
Enter your expenses to see your emergency fund target
3 months: appropriate if you have a stable salaried job, a partner with independent income, low debt, and could find equivalent work quickly.
6 months: the standard recommendation for most people. Covers typical job searches and unexpected expenses without forcing you to sell investments.
9–12 months: appropriate if you're self-employed, freelance, in a volatile industry, or approaching early retirement where income uncertainty is higher.
Build your emergency fund before aggressively investing. An emergency fund prevents you from selling investments at bad times — which is far more destructive to long-term wealth than a few months of lower investment contributions.
Keep your emergency fund in a high-yield savings account or money market fund — accessible within days but earning something. Not under the mattress.