Stage 1: get to £100
Start with speed. Sell an unused item, redirect a cancelled subscription, move a small amount on payday and keep any refund or windfall you can spare. The first £100 is proof that the system works.
Stage 2: build to £500
Choose a repeatable monthly amount. £25 a week is roughly £100 over four weeks; £50 a month takes longer but may be easier to sustain. The best amount is one you can keep contributing without missing essential bills.
Stage 3: reach £1,000
Once the habit is established, add temporary accelerators: a no-spend weekend, overtime, marketplace sales or a bill saving. Keep the fund in an accessible savings account rather than mixing it with spending money.
What counts as an emergency?
A broken boiler, urgent car repair needed for work, essential appliance failure or unexpected loss of income can qualify. Holidays, planned annual bills and predictable Christmas spending belong in separate sinking funds.
What comes after £1,000?
MoneyHelper describes three to six months of essential outgoings as a useful rule of thumb for a fuller emergency cushion, but affordability matters. After £1,000, calculate your own essential monthly costs and choose a longer-term target that fits your circumstances.
Related guides and tools
- Emergency funds explained
- Use sinking funds for predictable costs
- Emergency fund tool
- Saving on a low income
General information only. Expensive or priority debts can change what you should tackle first.