Estimate a reserve target from essential expenses, coverage months, current savings, and a planned contribution. Enter your own values below. The calculator shows the formula it uses, a graph and a step-by-step explanation of the result.
Also searched as: emergency savings, rainy day fund
How the calculation works
Formula
Target = Monthly Essential Expenses × Desired Coverage Months; Gap = max(0, Target − Current Savings); Months = ceil(Gap / Monthly Contribution)
The target uses essential expenses rather than discretionary spending. Time to target ignores interest and investment growth. Appropriate coverage depends on income stability, dependants, and personal circumstances.
What you enter
- Monthly essential expenses
- Desired coverage (months)
- Current emergency savings
- Planned monthly contribution
- Display currency (formatting only — no exchange-rate conversion)
What the results show
- Emergency fund target
- Current emergency savings
- Remaining amount required
- Funding progress
- Estimated months to target
- Monthly essential expenses
- Desired coverage (months)
- Planned monthly contribution
Results are estimates based only on the values and assumptions you enter. Open the detailed analysis to see the graph, the step-by-step story and the stated assumptions, and use the report menu to print, save as PDF, export a schedule to CSV or share the inputs.
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When to use this calculator
How large should my emergency fund be? Households building savings can use it to get a quick estimate from their own figures.
Worked example
Essential expenses of 1,500 a month and 6 months of cover give a target of 9,000. With 3,000 saved and 400 a month going in, the 6,000 gap closes in 15 months.
Illustrative figures in any currency. Enter your own values in the calculator above.