As the name denotes an emergency fund is meant to meet exigencies in life like a sudden illness, loss of job, financial crisis etc. It is advisable to keep a portion of your income every month towards this fund. Present day life is quite unpredictable and we never know when we will be needing money. So instead of ending up borrowing money at high rates of interest it is always good to have some money readily available. As you know when we need money in the shortest time possible the rate of interest will be at the highest level. Do you have an emergency fund and in case of a monthly saving how much is the percentage to keep towards this fund?