A worked example
With £1,500 in essential monthly costs, three months of cover is £4,500. If you already have £2,000, the gap is £2,500. Saving £200 each month takes 13 monthly contributions to reach or exceed that target, ignoring interest.
How the calculation works
Target = essential monthly expenses × chosen months of cover. The remaining gap cannot fall below zero. Time to target is the gap divided by the monthly contribution, rounded up to the next whole month. Current cover is existing savings divided by monthly expenses.
Assumptions and limits
MoneyHelper suggests three to six months of essential outgoings as a rule of thumb, not a target suitable for everyone. Your income stability, dependants and debts matter. This model assumes constant expenses and contributions, no withdrawals and no interest. It does not decide whether saving or repaying debt should take priority.
This tool provides general educational estimates, not personal financial advice.