Emergency Fund Calculator
Work out how much to set aside for unexpected costs, based on your monthly spending, and how long it takes to save it. Free, no sign-up.
Your Spending and Savings
For an emergency fund, liquidity comes before return — an ordinary savings account at a the DIS member bank is a common choice.
Your Emergency Fund
Recommended Target (6 months)
Tk 2,40,000
Tk 40,000/mo × 6 months of cover
💬 In Plain Words
With spending of Tk 40,000/mo, you need Tk 2,40,000 to cover 6 months of unexpected costs. You have already saved Tk 1,00,000 — you are Tk 1,40,000 short. Saving Tk 8,000/mo you have the full amount in 1 years and 5 months.
Target by Months of Cover
This is a general guideline. Adjust the number of months of cover to how stable your income is. This is not financial advice.
How the Calculator Works
👋 Simple Explanation
An emergency fund is money you set aside for unexpected costs — losing your job, a medical bill, an emergency repair — without having to take on expensive debt. The target is worked out by multiplying your essential monthly spending by the number of months of cover you want.
Target = Essential Monthly Spending × Months of Cover
To know how long it takes to reach the target, the calculator simulates your saving month by month, with an optional return (if you put the money in an instrument that pays one), until you reach the amount.
Why the Deposit Insurance Scheme Matters Here
The Deposit Insurance Scheme, run by Bangladesh Bank, protects deposits held with scheduled banks up to Tk 2 lakh (Tk 200,000) per depositor, per bank — a limit doubled from Tk 1 lakh under the 2025 Deposit Protection Ordinance, which covers the great majority of depositors in full. Cover is automatic and free; you do not sign up. Non-bank financial institutions (NBFIs) sit under a separate fund. For an emergency fund — which by definition has to be safe and reachable — keep it in a scheduled bank, and if the amount is large, spread it so you stay under Tk 2 lakh at each bank. Note that the payout only happens if a bank is actually wound up, which is rare and slow, so the strength of the bank still matters.
Frequently Asked Questions
- How much should I have in an emergency fund?
- A common rule of thumb is between 3 and 6 months of essential spending (not your whole income). If you have irregular income, for example as a self-employed person, a larger fund is wise — 6 to 12 months.
- What counts as 'essential spending' when I work out the fund?
- Rent or mortgage, food, energy, broadband, transport, insurance and the minimum repayments on loans you already have. Spending you control (nights out, hobbies, non-essential purchases) usually does not count, because you can cut or drop it temporarily in a real emergency.
- Where should I keep the emergency fund?
- In a liquid, low-risk account you can reach quickly and without penalty: an ordinary savings account. Instruments with more risk, such as shares or unit trusts, are not suitable for this fund. Check that the bank is covered by the Deposit Insurance Scheme run by Bangladesh Bank, which protects deposits up to Tk 2 lakh (Tk 200,000) per depositor, per bank.