Emergency Fund & Runway Planner
Calculate your target emergency safety buffer, identify cash runway depletion rates, and plan contributions to bridge any savings gaps.
Emergency Savings Growth to Target
Savings Timeline
| Month | Savings Balance | Amount Saved | Progress |
|---|---|---|---|
| Month 0 | $5,000.00 | $0.00 | 55.6% |
| Month 1 | $5,300.00 | $300.00 | 58.9% |
| Month 2 | $5,600.00 | $600.00 | 62.2% |
| Month 3 | $5,900.00 | $900.00 | 65.6% |
| Month 4 | $6,200.00 | $1,200.00 | 68.9% |
| Month 5 | $6,500.00 | $1,500.00 | 72.2% |
| Month 6 | $6,800.00 | $1,800.00 | 75.6% |
| Month 7 | $7,100.00 | $2,100.00 | 78.9% |
Runway Depletion Timeline
If your primary income source vanishes today, here is how long your current cash balance of $5,000.00 will last under your net monthly burn rate of $1,500.00.
| Month | Remaining Balance | Status |
|---|---|---|
| Month 0 | $5,000.00 | Safe |
| Month 1 | $3,500.00 | Safe |
| Month 2 | $2,000.00 | Safe |
| Month 3 | $500.00 | Safe |
| Month 4 | $0.00 | DEPLETED |
Calculating Your Financial Safety Runway
Your emergency fund size is determined by multiplying your net monthly expenses (total or essential costs minus any reliable secondary income) by your target safety buffer in months:
For example, if you have $2,000 in monthly essential costs offset by $500 in side income, your net burn rate is $1,500.00. Saving for a 6-month buffer requires $9,000.00.
Frequently asked questions
How many months of expenses should be in an emergency fund?
Financial experts typically recommend saving 3 to 6 months of living expenses in an emergency fund. Freelancers, self-employed individuals, or those in volatile job markets should aim for 9 to 12 months of runway.
What is the difference between essential and discretionary expenses?
Essential expenses (survival budget) include critical survival costs like rent/mortgage, utilities, basic groceries, transport, and minimum debt payments. Discretionary expenses are non-essential lifestyle costs like dining out, entertainment, and streaming subscriptions.
Where should I keep my emergency fund?
Keep your emergency fund in a highly liquid, low-risk account that earns interest, such as a High-Yield Savings Account (HYSA) or a Money Market Account. Avoid investing these funds in the stock market where they could lose value when you need them most.