What it is for
Emergency cash is for urgent, important and difficult-to-predict expenses such as a necessary repair or temporary loss of income. It is different from travel, shopping or annual bills you already know are coming.
Start with a first milestone
A target of several months can feel distant. Begin with an amount that can absorb a common surprise, then work toward one month of essential expenses and expand from there based on your responsibilities and income stability.
Use essential expenses
Estimate housing, basic food, utilities, transport, minimum debt payments and other necessities rather than your full lifestyle budget. This makes the target closer to what you would need to keep life functioning.
Keep it accessible but separate
Emergency money should be easy to access when needed but separate enough that it is not spent casually. The priority is safety and availability, not chasing returns with money you may need quickly.