When you're faced with unexpected expenses, having emergency cash set aside can make all the difference.

Could a relatively minor event—such as an unexpected filling, visit to the vet, broken phone, faulty home appliance or busted car tyre—leave you financially stranded?

If you answered yes, you’re not alone. One in five Australians don’t have enough money set aside to cover a $500 emergency, while one in eight has less than $100 to cover even a small setback.

We take a look at the stats, the benefits of emergency funds and how you can set one up with ease.