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 LPS member bank is a common choice.
Your Emergency Fund
Recommended Target (6 months)
Rp 48.000.000
Rp 8.000.000/mo × 6 months of cover
💬 In Plain Words
With spending of Rp 8.000.000/mo, you need Rp 48.000.000 to cover 6 months of unexpected costs. You have already saved Rp 12.000.000 — you are Rp 36.000.000 short. Saving Rp 1.500.000/mo you have the full amount in 1 years and 11 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 LPS Deposit Insurance Matters Here
Lembaga Penjamin Simpanan (LPS) guarantees deposits held with Indonesian banks — commercial banks and rural banks (BPR) — up to Rp 2 billion per depositor, per bank. Cover is automatic and free; you do not have to sign up. One condition matters: the interest rate on your deposit must be at or below the LPS guarantee rate, which LPS sets and publishes — a bank offering a rate above it puts that deposit outside the guarantee. It also covers foreign-currency deposits, converted to rupiah for the limit. For an emergency fund — which by definition has to be safe and reachable — keep it with a bank and within a normal interest rate, and if the amount is large, spread it so you stay under the limit at each bank.
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 mutual funds, are not suitable for this fund. Check that the bank is guaranteed by LPS (Lembaga Penjamin Simpanan), which protects deposits up to Rp 2 billion per depositor, per bank — provided the deposit rate is at or below the LPS guarantee rate.