HisabCalc › Banking & money

Emergency Fund Calculator

Works out how large an emergency fund you need from your monthly expenses and a safety buffer of three to six months.

Enter your numbers

Monthly expenses (BDT)

Example: 20000

Months of cover

Current savings (BDT)

Example: 30000

Result

Currency

Figures are computed on your device; nothing is sent anywhere.

Formula

target = monthlyExpense * months; shortfall = max(target - currentSavings, 0); monthsCovered = currentSavings / monthlyExpense

How the calculation works

The target multiplies your essential monthly expenses by the number of months of cover you want, commonly three for a stable job and six for uncertain income.

The shortfall subtracts what you have already saved from the target, so a fully funded buffer shows zero.

The months covered divides your current savings by the monthly expense, showing exactly how long the money would last.

Common mistakes

Basing the target on total income instead of essential expenses inflates it, since the fund only needs to cover unavoidable monthly costs.
Counting investments or illiquid assets as emergency savings overstates cover, because a fund must be reachable within a day or two.

When to use it

Use it to set a concrete savings goal before you start building an emergency fund.
Use it to check how many months your current savings would cover if income stopped tomorrow.

Worked example

With monthly expenses of 20,000 taka and a six month buffer the target is 120,000 taka, and 30,000 taka saved leaves a shortfall of 90,000 taka.

Target amount ৳120,000.00

Shortfall 90,000.00

Months covered 1.5

Common questions

How many months of cover should I aim for?

Three months suits a stable salaried job, while six months is safer for freelancers or single income households, so pick the number that matches your income risk.

Last updated: 2026-10-03