How much should I save for emergencies?

President Gordon B. Hinckley counseled, "I urge you as members of this Church to get free of debt where possible and to have a little laid aside against a rainy day" ("The Times in Which We Live," Ensign, Nov. 2001, 73).

Some financial advisors suggest you set aside three to six months of savings for use in the event of a loss of a job, a medical emergency, short-term disability, or other unexpected expenses.

Use this calculator to help determine how much you need to set aside monthly or as a lump sum to create an emergency fund.

Assumptions

Current gross monthly income ($)

Current emergency funds available ($)

Number of months for funds to last (1 to 360)

Before tax return on savings (-12% to 12%) help

Marginal tax bracket (0% to 75%) help

Number of months to accumulate funds (1 to 360)

Expenses

Total monthly living expenses, if plan to itemize below then leave at 0. ($)

Or Itemize Monthly

Mortgage payment or rent ($)

Vacation home (mortgage) ($)

Automobile loan(s) ($)

Personal loan(s) ($)

Charge accounts ($)

Federal income taxes ($)

State income taxes ($)

FICA (social security taxes) ($)

Real estate taxes ($)

Other taxes ($)

Utilities ($)

Household repairs and maintenance ($)

Food ($)

Clothing and laundry ($)

Educational expenses ($)

Child care ($)

Automobile expenses (gas, repairs, etc.) ($)

Other transportation expenses ($)

Life insurance premiums ($)

Homeowners (renters) insurance ($)

Automobile insurance ($)

Medical, dental and disability insurance ($)

Entertainment and dining ($)

Recreation and travel ($)

Club dues ($)

Hobbies ($)

Gifts ($)

Major home improvements and furnishings ($)

Professional services ($)

Charitable contributions ($)

Other and miscellaneous expenses ($)