I have alway hated the one size fits all 3-6 month of expenses.
I figured my EF on several factors-
1) I have a very secure job and could cover my basic needs on an $8 an hour retail job. (Lost job $2000 maximum needed, however if it is because of illness I would need 6 months plus health insurance until LTD kicked in $10,000)
2) I own a home so major breakdowns could happen (Sewer collapses $8000 needed)
3) I have a very old car (Car replacement needed $6000 for used vehicle)
Therefore worst case scenario I would need $10,000 (but not all of it immediately) so I have $6000 in a MM and $4000 in other investments (I could tap into over time) I have excellent credit so I could use that until the money was available.
Each situation is unique and should be looked at individually. It really is just the amount that lets you sleep at night.
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