With inflation on the rise and the end of year holiday flurry — the last thing on your mind is building an emergency fund.

Yet, according to experts, planning ahead of time is the best way to help you get there. And it’s more than feasible to stash away $5,000 next year.Chennai Investment

Abid Salahi, finance expert and co-founder of FinlyWealth, broke down exactly how to build a $5,000 emergency fund in 2025 based on real strategies he’s used with his clients.

“I tell my clients not to wait for Jan. 1,” he saidVaranasi Stock. “Starting in November 2024 with just $100 monthly, you’ll have $200 extra before 2025 begins. This early start increased my clients’ success rates by 64%.”Udabur Stock

For a basic monthly plan, Salahi said, “The simplest approach I recommend is $417 monthly ($5,000 divided by 12 months). However, I’ve found this overwhelming for 78% of my clients.Mumbai Stock Exchange

“Instead, I suggest a graduated approach that matches real-life cash flow patterns.”

GOBankingRates laid out Salahi’s provenmonthly blueprint for building an emergency fund next year.

Salahi said start with $250 monthly.

“I’ve learned most people can find this by cutting streaming services ($45), reducing takeout ($120) and optimizing cell phone plans ($85),” he explained.

Salahi guided his clients to commit 50% of their tax refund.

“With the average refund being $2,800, this single move can add $1,400 to your emergency fund,” the expert said. “I’ve seen this strategy work for 91% of my clients.”

Here, according to Salahi, you should increase to $300 monthly.

“My clients typically find extra money from reduced utility bills ($50), summer entertainment swaps ($150) and side gigs ($100),” he remarked.

Finally, Salahi recommended bumping up to $400 monthly.

“I help clients tap into holiday seasonal work, which adds an average of $200 monthly without touching their primary income,” the expert said.

Money-finding methods: “I teach my clients to use cash-back apps for groceries,” said Salahi. “My average client earns $42 monthly this way — that’s $504 annually straight to their emergency fund.”

Bank bonus hunting: Salahi has mapped out bank account opening bonuses worth $200 to $300 each. He said, “My clients who follow this strategy average $600 yearly in bonuses, cutting their monthly savings requirement by 12%.”

Subscription audit: “When I review client expenses, I typically find $65 to $85 in forgotten subscriptions,” Salahi added. By canceling these, you can redirect this money to your emergency fund without feeling the pinch.

Real numbers from his experience: “Base monthly savings: $250 to $400 ($3,900 annually). Tax refund contribution: $1,400. Bank bonuses: $600. Cashback apps: $500. Total: $6,400.”

Using this combined approach, Salahi said his clients typically exceed their $5,000 goal by August.

“The extra serves as a buffer, which 73% of my successful clients say helped them avoid touching their emergency fund for non-emergencies,” he added.

According to Salahi, starting early has a big impact.

“When clients start in November 2024, they enter 2025 with momentum,” he said. “I’ve calculated that early starters are 3.2 times more likely to reach their goal ahead of schedule.”