Emergency Fund Calculator
Work out how big your emergency fund should be from what you actually need to get by each month, and how long it will take to build. Free, no sign-up.
Rent or mortgage, groceries, utilities, transportation, insurance and minimum debt payments. Leave out what you’d cut in a pinch.
Your emergency fund target$18,0006 months of essentials
$2,000 of $18,000 saved · What you have covers 0.6 months today
- Still to save
- $16,000
- Time to reach it
- About 40 months at this pace
Build it without thinking about it
Add an emergency fund as a savings goal in AI Budgie: it shows how far along you are and what each month still needs, next to your budget. Money left over at the end of the month can move into savings by itself.
Start my emergency fund with AI BudgieFree for 30 days. Savings goals are included.
How much emergency fund do you need?
An emergency fund is money set aside for the things you can’t plan: a job loss, a car repair, a dental bill, a sudden trip home. The usual guide is three to six months of essential expenses, which is what this calculator multiplies.
Count essentials, not your whole spending. If you lost your income tomorrow, you would stop eating out and pause subscriptions. What’s left (housing, groceries, utilities, getting to work, insurance and minimum debt payments) is the number that matters.
Pick the months from how steady your income is. Two incomes or a secure job can lean toward three months. One income, dependants, self-employment or seasonal work point to six months or more. In Canada, Employment Insurance can help after a job loss, but the first payment usually arrives about four weeks after you apply, so even a small fund matters.
Keep it safe and easy to reach, in a high-interest savings account apart from your everyday account, or a TFSA so the interest isn’t taxed. The goal is to have it there when you need it, not to grow it.
Questions people ask
How much should I have in my emergency fund?
Three to six months of essential expenses is the common guide. If your essentials are C$3,000 a month, that is C$9,000 to C$18,000. Lean toward six months or more if you have one income, people who depend on you, or work that is self-employed or seasonal.
Is three months of expenses enough for an emergency fund?
It can be, if your job is secure or there are two incomes in your home. It may not be if you are the only earner or your work is irregular, since finding a new job can take longer than three months.
Where should I keep my emergency fund in Canada?
Somewhere safe and easy to reach that is separate from your everyday account, such as a high-interest savings account. Holding it in a TFSA savings account means the interest isn’t taxed. Avoid investments that can fall in value right when you need the money.
Should I build an emergency fund or pay off debt first?
Many people do both in stages: first a small fund, such as one month of essentials, so surprises don’t go on a credit card; then extra payments on high-interest debt; then the rest of the emergency fund.
What counts as an emergency?
Something necessary, urgent and unexpected: losing your income, a medical or dental cost, an essential car or home repair, or travel for a family emergency. A sale, a holiday or a planned purchase is better saved for as its own goal.