Ask all your Finance, Insurance, Banking, Investment, Loans, Mortgage related questions and get answers from expert for FREE !
0 votes
asked in Financial Planning by
How much should be emergency fund?

1 Answer

0 votes
answered by (19.8k points)
 
Best answer

If you are still paying off debt, then you should have about $1000 in savings and put all you can towards non-mortgage debt. If you don't have any debt besides your mortgage, then add up all of your monthly expenses including food, gas, utilities and keep 3-6 months in liquid savings. 

Whether you keep 3 or 6 months depends on how safe your income is. If you have a steady safe job, you might be safe with 3 months. But, if your employer is cutting back or you are in a commission based job or self employed - then lean more towards 6 months expenses. 

I suggest you to please go through this article about Importance of Emergency Funds 

 

Welcome to pfGuru Q&A, is a question and answer site for people who want to be financially literate. It's 100% free. You can ask all your Finance , Insurance, Banking, Investment, Loans, Mortgage related questions and get answers from expert.
© 2017 pfGuru
 
· Disclaimer 
· Privacy Policy
 · Contact Us
...