Emergency Fund Calculator
Find out exactly how much you need in your safety net — and how to get there in 12 months.
| Monthly Saving to Build in 12 Months | $0 |
| Annual Interest if in HISA (4.5%) | $0 |
Why You Need an Emergency Fund
An emergency fund is your financial first line of defence. It covers unexpected events — a job loss, medical bill, car repair, or urgent home repair — without forcing you to go into debt or sell investments at a bad time.
How Much is Enough?
Financial advisers commonly recommend 3–6 months of essential living expenses. "Essential" means rent or mortgage, utilities, groceries, insurance, transport, and loan repayments — not discretionary spending like dining out or holidays.
- 3 months: Suitable for those with stable PAYG employment, dual income, and good employer sick leave entitlements.
- 6 months: Recommended for most Australians — provides a buffer against job loss or a significant unexpected expense.
- 12 months: Best for self-employed, contractors, single-income households, or anyone in a volatile industry.
Where to Keep It
A high-interest savings account (HISA) is the ideal home for an emergency fund. Current Australian HISAs offer 4–5% p.a. — meaning a $27,000 fund earns ~$1,200/year in interest while remaining instantly accessible. Avoid term deposits for emergency funds — the penalty for early withdrawal defeats the purpose.