Life Insurance Needs Calculator

This tool sizes a life insurance policy by two named methods rather than one headline guess. The DIME option adds debts and final expenses, income replacement over the years you choose, the mortgage balance and an education fund per child, and prints each component on its own line. The income-multiple option is the shorter rule: a multiplier of annual income that you set, with debts added on top. Cover already in force and savings are subtracted only when you enter them, and nothing here allows for inflation, investment return, survivor benefits or tax, so treat the figure as an estimate to take to an adviser.

Calculator Type

Debt, Income, Mortgage, Education, added up one component at a time.

Annual Income ($) *

Gross pay of the person being insured.

Years of Income to Replace *

Often the years until the youngest child leaves home, or until a partner retires.

Debts Other Than the Mortgage ($)

Card balances, car loans, student loans, anything that would still have to be paid.

Funeral and Final Expenses ($)

Mortgage Balance ($)

Children to Educate

Education Cost per Child ($)

Total per child, in today money. Nothing is assumed for you.

Life Cover Already in Force ($)

Include employer group life. Left at zero, none of it is deducted.

Savings and Assets Available ($)

Only what the family could actually spend on these needs.

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