"Do not save what is left after spending, but spend what is left after saving."
– Warren Buffett
– Warren Buffett
HelloMacha financial tool
Build a practical cash buffer from your essential monthly expenses, income stability, dependants, health costs, and current savings.
Leave out holidays, dining out, entertainment, and other costs you could pause during an income disruption.
Build the reserve in stages instead of waiting for the full target before starting.
Prioritise safety and access over chasing returns. Products, insurance limits, taxes, and withdrawal times vary.
First month: savings account
Keep the immediately needed portion accessible for urgent bills.
Next layer: sweep-in FD or short-term deposit
Check premature withdrawal rules and whether the bank automatically sweeps funds when needed.
Additional layer: liquid mutual fund, only if understood
Returns are not guaranteed, redemption is not the same as instant cash, and it is not a bank deposit.
It adds the essential costs you enter, applies your preferred coverage period, and raises that period when your employment type, dependants, or health risk suggests a larger buffer. The result is capped at 12 months and should be treated as a planning range, not a universal rule.
Base floor
Stable salaried income starts at 3 months.
Formula
Essential monthly costs × recommended months.
Review trigger
Recalculate after a job, family, debt, or health-cost change.
Use money you can access without relying on a market sale. Shares and equity funds can fall when you need them most.
A basic cash buffer can reduce the chance that an emergency forces you to borrow or sell long-term investments. Your priorities depend on your debt, insurance, and household situation.
No. Insurance may cover eligible medical costs, while the cash reserve helps with deductibles, exclusions, delays, and non-medical disruptions.
Review it at least yearly and after changes to income, rent or EMI, dependants, insurance, debt, or health costs.
Explore more tools from the Calculators section.