Emergency Fund: How much and where?

SouthCoastBoy

We have around 500k in cash, it initially started out as an emergency fund but after years of saving it has got a bit out of hand.  Should really have moved to a bigger house a few years ago, but couldn't be bothered with the aggro.

QrizB

gtat said:

It would be really interesting to know more about everyone's emergency fund - how much do you have as your EF (relative to expenditure) and where are you keeping it?

Number of months expenditure as emergency fund:
% in current accounts:
% in regular savers:
% in premium bonds:
% in other (please specify!):

Ours is roughly like this ...

• 1 month in current account (mostly because lots of my regular payments are at the start of the month and a delayed paycheque would be inconvenient);
• 3 months in cash ISAs / regular savings.

Then you get out of "emergency fund" and into longer-term funds that could be accessed if things got sticky:

• 14 months in SS ISAs.

SouthCoastBoy said:

We have around 500k in cash, it initially started out as an emergency fund but after years of saving it has got a bit out of hand.  Should really have moved to a bigger house a few years ago, but couldn't be bothered with the aggro.

"A bit out of hand"

[Deleted User]

As this subject is in the pension section I thought this may have something to do with a stock market crash scenario should your pension be invested in funds.

MX5huggy

We’ve got about 80% of a years combined net salary in PB’s that’s our main savings happy for it to fall and rise as we spend and save. Used to held just as a large current account balance (remember when Santander paid 3%). Upped pension to reduce savings growth, and just started an S&S ISA for the first time. Don’t really subscribe to the untouchable Emergency fund doctrine.