Unexpected expenses can strike at any time, and they may derail your efforts to reach long-term financial goals. Instead of relying on credit cards or other loans, setting up an emergency savings fund is the best way to protect yourself against these unexpected costs. Then set a goal to save at least 10% of your income each month. This should include essential spending like your mortgage or rent, utilities, food, transportation and debt payments, as well as savings for retirement and short-term goals such as vacations or a down payment on a home.