Your housing and fixed expenses are $702.38/month.

Question

You want to have a 4 month emergency fund and save it over
a 9 month period of time. How much do you need to save
per month? round to the nearest penny

Answer 1

To calculate how much you need to save per month for a 4-month emergency fund, follow these steps:

1. Calculate the total amount needed for the emergency fund: \[ \text{Total emergency fund} = \text{Monthly expenses} \times \text{Number of months} \] \[ \text{Total emergency fund} = 702.38 , \text{USD} \times 4 = 2809.52 , \text{USD} \]

2. Divide the total amount by the number of months over which you want to save: \[ \text{Monthly saving} = \frac{\text{Total emergency fund}}{\text{Number of months to save}} \] \[ \text{Monthly saving} = \frac{2809.52 , \text{USD}}{9} \approx 311.06 , \text{USD} \]

Therefore, you need to save approximately $311.06 per month.