Determine how much you need
Start building your emergency fund with a specific goal in mind. While your savings goal will depend on your income and expenses, a general rule of thumb is to save enough to cover four to seven months' worth of expenses.
Kevin Gallegos, vice president of Phoenix operations for Freedom Debt Relief, says that when setting your savings goal, you should focus on having enough to cover expenses, not on replacing your entire income.
"Remember, in an emergency, we don't fund vacations, fancy new clothes, dining out or other luxuries," he says.
While you may aim higher eventually, make small goals at first, such as saving $1,000 and working your way up to a reserve to cover several months' worth of expenses.