Emergency Fund Architecture for Resilient Households

Executive summary

A single emergency fund is fragile. Resilient households split reserves into three tiers by access speed and intended use.

• Tier 1: 1 month operating cash in checking
• Tier 2: 3 months in HYSA
• Tier 3: 6+ months in T-bills/short-term Treasuries

Key takeaways

• Tier 1: 1 month operating cash in checking
• Tier 2: 3 months in HYSA
• Tier 3: 6+ months in T-bills/short-term Treasuries
• Refill discipline: 90-day rule

Key strategies

1. Strategy 1

   Tier 1: 1 month operating cash in checking

2. Strategy 2

   Tier 2: 3 months in HYSA

3. Strategy 3

   Tier 3: 6+ months in T-bills/short-term Treasuries

4. Strategy 4

   Refill discipline: 90-day rule

Pro-tips checklist

• Never invest tier 1 or 2
• Lock refill triggers into the annual plan

FAQ