Free tool
Emergency fund calculator
What this tool tells you
This tool works out how much to hold in an emergency fund from your fixed monthly expenses and the months of cover you pick, and shows how long it takes to get there at your monthly contribution. As a rule of thumb people talk about three to six months, and more for those with an irregular income.
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The calculation runs in your browser, and the numbers you enter are not sent anywhere.
How it is calculated
The target is your fixed monthly expenses times the number of months you chose (3, 6, 9 or 12). What you have already saved is divided by the monthly expenses to show how many months you are covered today, and what is missing is divided by the monthly contribution to show how many months it takes.
target = monthly expenses × months of cover
months covered = saved / monthly expenses
time to target = ceil( (target − saved) / monthly contribution ) months
monthly expenses are your fixed monthly expenses, saved is what you already have and monthly contribution is what you add to the fund each month.
Assumptions
- Fixed monthly expenses are rent or mortgage, bills, food, transport, insurance and loan repayments.
- The tool assumes no return on the money. It counts deposits only, because an emergency fund's job is to be available, not to earn.
- The monthly contribution is constant, and with no contribution at all the tool says the target cannot be reached.
- Ranges in the tool: expenses of 2,000 to 30,000 shekels a month, cover of 3, 6, 9 or 12 months and a contribution of 0 to 5,000 shekels.
How to read the result
- Each square in the grid is one month of expenses. Solid squares are the months of your target, and dashed ones are beyond it.
- The "Months covered now" card tells you how many months what you have saved could pay for. The "Still to go" card is the remaining gap.
- If your income varies, also look at the 9 and 12 month options.
Limits of this tool
Three to six months is a common rule of thumb, not a personal recommendation. The tool counts essential expenses rather than all spending, and it does not decide where to keep the money, so the guide is worth reading.
This is an illustration based on the numbers you entered, not personal advice or a recommendation. Check current rules and amounts at gov.il or on the Capital Market, Insurance and Savings Authority website.
Frequently asked questions
How much should an emergency fund hold?
People usually talk about three to six months of essential expenses, and more for the self-employed, for those with variable income, for a single earner or for those with heavy commitments. The exact number depends on your situation.
What counts as an essential expense?
Rent or mortgage, bills, basic food, insurance, transport and loan repayments. Restaurants, holidays and treats are left out, because in an emergency month you can cut them.
Where should an emergency fund be kept?
Somewhere the money is available quickly and without loss, not in a locked fund or in stocks. The emergency fund guide covers a liquidity ladder in more detail.
Why does the tool not calculate interest on the fund?
Because the fund's job is to be available when needed. The tool counts deposits only, so the time it shows is the more cautious one.
Read more in the guides
Guides
The Emergency Fund: How Much, Where to Keep It, and How to Build It
How many months of expenses to set aside, where to keep the money so it's available and not eroded, and how to build a simple liquidity ladder.
Guides
The 50/30/20 Budget in Israel: Adapting It to Local Living Costs
The 50/30/20 method, Israeli edition: how to classify spending, what to do when rent takes more than half, and when to switch to zero-based or pay-yourself-first.
Guides
Net Worth: How to Work Out What You're Really Worth, and How Often to Check
Net worth is the one number that sums up the whole picture: assets minus liabilities. How to compute it properly, how often to review, and the common mistakes to avoid.
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