Why Have 6 Months of Savings
Where the '3 to 6 months of expenses' guideline comes from, how to size yours, and how to grow into it without pressure.
Section 1 of 6
The previous lesson made the case for a starter emergency fund — the $500–$1,000 that keeps a car repair from becoming card debt. This lesson is about the destination beyond it: a fund covering three to six months of essential expenses.
The starter fund and the full fund solve different problems. The starter fund handles events — a repair, a bill, a bad week. The full fund handles interruptions: the months-long gaps when income itself stops or drops. Job loss, an illness that keeps you from working, a family situation that needs your time. Events are common and small; interruptions are rarer and much larger — and they're the ones that turn manageable finances into crisis.
To be clear about sequencing: this is a later-stage goal. If you're carrying high-interest card debt today, the starter fund plus debt payoff still comes first. This lesson is about knowing where the road leads.
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