How to Build Up Rainy Day Fund

Posted: April 21, 2021

Updated: October 18, 2023

A member sits at a table as they look at the funds that they are building for a rainy day.

Life doesn’t always go according to the plan on your budget spreadsheet. Sometimes you need to spend money to address an urgent need, like replacing worn out brakes on your car, buying a new furnace or covering a pet’s medical bill. By building a rainy day fund, you’ll be able to weather any storm to keep your financial goals on track. Whether you think you’ll need a few hundred or a few thousand, here are some easy ways to increase your savings for those short-term unexpected expenses.

Save on Pay Day

The simplest way to grow your rainy day fund is to set aside a portion of each paycheck. Even small contributions add up over time. Use Landmark’s Digital Banking app to schedule recurring transfers, automatically moving a set amount of money from your checking to your savings account without having to think about it!

Create a Dedicated Account

Consider creating a dedicated account for your rainy day fund or other financial goals. At Landmark, you can customize your account names, such as 'Rainy Day Fund' to help you stay disciplined with your savings.

Use Your Tax Refund

If there isn’t much to spare after you pay your bills and expenses, consider putting your tax refund toward rainy day savings. It can be a great way to boost your rainy day savings quickly.

Raise Your Savings

When you get a raise or a better-paying job, consider allocating a portion of your increased income toward your savings. This can help you reach your savings goals more easily.

Loan Payment Replacement

If you pay off a vehicle loan, student loan or credit card balance, consider putting the same amount you used to pay toward your loan into your rainy day fund. You’re already accustomed to budgeting for it, making the transition smoother.

By following these tips to build your rainy day fund, you'll have piece of mind knowing you’re prepared for unexpected expense that pops up.

Explore our savings and money market options to find the best solution for you needs.