What is the Emergency Fund Calculator?
Compare emergency buffers using your essential monthly spending, including minimum EMIs, and available emergency savings. The 3, 6, 9 and 12-month amounts are scenarios, not a personalized target.
How does it work?
Buffer = monthly essential spending multiplied by selected months. Gap = max(0, buffer minus available emergency savings). There is no automatic adjustment for job title, dependents or insurance. Include those costs in your spending assumption without double-counting.
Worked example
At Rs 50,000 per month, 3, 6, 9 and 12 months correspond to Rs 1.5 lakh, Rs 3 lakh, Rs 4.5 lakh and Rs 6 lakh. With Rs 1 lakh available, the 6-month gap is Rs 2 lakh.
When to use this calculator
- 1Compare different durations of lost income.
- 2Explore changes in essential costs or available cash.
Common mistakes to avoid
- ✕Including expenses but omitting minimum debt payments.
- ✕Counting inaccessible investments as available emergency cash.
- ✕Treating the selected number of months as a recommendation.
Frequently asked questions
- Which duration does the calculator recommend?
- None. Each duration is a user-controlled illustration. Your circumstances and access to resources are not fully modeled.
- Does it select investments for emergency savings?
- No. It calculates amounts only; product selection is outside its scope.