Find your emergency fund target and the time to reach it.
Target fund
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Still to save
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Months to reach it
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Your breakdown
Updates live as you type
Item
Amount
Worked example
Take monthly essential expenses of N350,000, a target of 6 months of cover, N500,000 already saved, and N100,000 set aside each month. The target fund is the essentials times the months of cover, N350,000 times 6, which is N2,100,000. You already hold N500,000, so the gap still to save is N2,100,000 minus N500,000, which is N1,600,000. Saving N100,000 a month, that gap closes in 16 months, since N1,600,000 divided by N100,000 is 16. The calculator rounds up to a whole month, so a fractional result always lands on the next full month, because the fund is only complete once the final contribution lands.
Item
Value
Target fund (6 x N350,000)
N2,100,000
Already saved
N500,000
Still to save
N1,600,000
Months to reach it at N100,000 a month
16
How it is calculated
The target fund is your monthly essential expenses multiplied by the number of months of cover you want to hold. The gap is that target less what you already have, floored at zero so an over-funded position never shows a negative gap. The time to reach the target is the gap divided by your monthly saving, rounded up to the next whole month, because the fund is only complete once the last contribution arrives. A common guideline is three to six months of essential expenses, kept in easily accessible savings rather than locked away or invested, so the money is there when you need it. If your income is irregular, you are self-employed, or you support dependants, aim toward the higher end of that range. Note the fund is sized on essential expenses, the rent, food, transport and bills you cannot skip, not your full lifestyle spending, since in a genuine emergency the discretionary spending is the first to be cut.
Frequently asked questions
How big should my emergency fund be in Nigeria?
A common target is three to six months of essential expenses, held in easily accessible savings. If your income is irregular or you have dependants, aim higher. This calculator multiplies your monthly essentials by the months of cover you want, subtracts what you already have, and shows how long it takes to close the gap at your current monthly saving.
Should I count my total savings or only liquid savings when working out the gap?
You should count only the savings you can access quickly, typically funds in a regular savings or current account rather than locked-away fixed deposits or investments. Money tied up in a 90-day fixed deposit or a mutual fund that takes days to redeem does not help you cover rent or utilities the week you lose your job. Enter only the immediately accessible balance in the current savings field.
What counts as essential expenses for sizing the fund?
Essential expenses are the costs you cannot cut in a genuine emergency: rent or mortgage, food, utilities, transport to work, and loan repayments. Discretionary spending such as subscriptions, dining out, and entertainment is excluded because it would be the first to go. Sizing the fund on essential expenses rather than total spending keeps the target achievable and the fund focused on its purpose.
Is a high-yield savings account or Treasury Bills better for parking an emergency fund in Nigeria?
Both work, but they involve different trade-offs. A regular savings account at a commercial bank gives instant access, whereas Treasury Bills typically have a fixed 91-day, 182-day, or 364-day tenor that can delay access in a genuine emergency. Many Nigerians split the fund: one or two months in an instant-access account and the rest in short-tenor T-Bills to earn a better rate. The right split depends on how liquid you need to be.