Question

You are working on building your emergency fund. Your total living expenses are
$
1
,
800
$1,800dollar sign, 1, comma, 800 per month and you're hoping to save enough for three months' worth of expenses. You're currently saving
$
600
$600dollar sign, 600 each month.
How long will it take you to fully fund your emergency fund?

Answer 1

To fully fund your emergency fund, you need to save for three months' worth of expenses.
Total living expenses per month: $1,800
Amount saved each month: $600

Therefore, to save for three months' worth of expenses, you would need to save:
3 months x $1,800 = $5,400

Since you are saving $600 per month, the time it will take to fully fund your emergency fund is:
$5,400 ÷ $600 = 9 months

It will take you 9 months to fully fund your emergency fund.