Financial expert shares emergency fund tips as credit card debt hits record high

MILWAUKEE (CBS 58) -- With credit card debt at a record high nationally, financial professional Tina Alfini of Drake and Associates joined us Tuesday, June 23 to talk about building an emergency fund.

Alfini recommends setting aside six months of expenses, which she said amounts to roughly $35,000 for the average household, though the right amount varies by person. To calculate it, she suggests adding up monthly expenses and multiplying by six.

To start saving, Alfini recommends reworking a budget to set aside even small amounts consistently, setting up automatic contributions to savings accounts and using a high-yield savings or money market account to earn interest.