What is your income like?

Stable (permanent employment): €0 — 3 months may be enough — the risk of a sudden income loss is lower and unemployment support cushions the blow. Variable (self-employed, commissions): €0 — Aim for 6 months or more — income is less predictable and a gap can last longer. I'm the main breadwinner: €0 — A larger reserve (6+ months) is warranted — more people depend on your income.

Where do you plan to keep the reserve?

On my current account with everything else: €0 — There's a risk you'll spend it. Separate it onto a dedicated savings account — it helps both psychologically and practically. On a savings account (separately): €0 — The right choice — liquid, separate, mildly interest-bearing. The reserve isn't there to earn, it's there to be at hand. In investments (stocks/ETFs): €0 — Not recommended for a reserve — at a bad time you sell at a loss. Investments are for the long horizon, not emergencies.

How much of the target reserve do you already have?

Almost nothing: €0 — Start with a small goal — 1 month of expenses. Even a small reserve turns an unexpected expense from a crisis into a nuisance. Part of it (1–2 months): €0 — A good base. If you have expensive debt (credit card, consumer loan), pay it down in parallel, then keep topping up the reserve. I have 3+ months: €0 — Solid. Consider investing further money — holding too much in cash means losing value to inflation.

How big should your emergency reserve be? A simple estimate

An emergency reserve is the first step to financial health — without it, a single unexpected event throws you into debt. This overview shows what the choices are for its size and where to hold it, and which questions decide between them.

This text was created or edited with the help of artificial intelligence and passed human editorial review before publication. Always verify figures, prices and terms against the current conditions of the specific provider.

What to weigh up

The figure usually quoted is 3–6 months of essential expenses — not your whole income. What would you have to spend in a month if your income stopped tomorrow?
Where you sit in that range is pulled by income stability and fixed costs: employment and low fixed costs toward the lower end, self-employment, a family or a mortgage toward the upper. Which of those two is closer to your situation?
A reserve can sit in a savings account, a term deposit or conservative funds. They differ in how fast the money is back in your account and whether its value moves in the meantime. How quickly would you need to reach it?
The reserve, expensive debt and investing compete for the same money, and the order is not the same for everyone. What would hurt more today — the interest you are paying, or an expense you cannot cover?

Step 1 of 4

What are your essential monthly expenses (housing, food, utilities, transport, instalments)?

What to work out before you decide

1.Your essential monthly expenses — housing, food, utilities, transport, loan payments. Without that number, "3 to 6 months" is just an abstraction.
2.How quickly you could replace your income. That decides whether the lower end of the range is enough or you are aiming at the upper one.
3.Whether you want to build the reserve alongside paying down expensive debt, or one first and then the other — and which of the two lets you sleep better.

You can live through this decision

In the “First Job” track you reach the same choice — and see where it takes you a few years on.

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This is not financial advice. Numbers are illustrative and for educational purposes only. Always verify current conditions with your provider before making any financial decision.

How big should your emergency reserve be? A simple estimate

What to weigh up

Try it yourself

What are your essential monthly expenses (housing, food, utilities, transport, instalments)?

What to work out before you decide