Life Insurance Calculator

Estimate how much life insurance coverage your family may need.

Estimate How Much Life Insurance You Need

This life insurance calculator gives a quick estimate of the coverage your family might need if your income were lost. Enter your annual income, how many years you want to replace it, your outstanding mortgage and other debts, any major future costs such as education, and your current savings and existing coverage. The result is a recommended coverage figure, calculated privately in your browser.

How the estimate works

The calculator uses an income-replacement approach similar to the well known DIME method, which stands for debt, income, mortgage and education. It adds the income you want to replace, your mortgage, your other debts and major future expenses, then subtracts the savings and coverage you already have. The difference is the gap a policy would aim to fill.

Why coverage matters

Life insurance is designed to protect the people who depend on you. The right amount lets your family keep their home, cover day to day costs and meet big goals like college without financial strain during a very hard time. Too little coverage leaves a gap, while far too much means paying for protection you do not need.

Things to consider

  • Term length — match it to the years your family relies on your income.
  • Existing coverage through work is often modest and may not move with you if you change jobs.
  • Review regularly — major life events like a new child or mortgage change your needs.

Estimates only — not financial advice. Speak with a licensed insurance professional for a recommendation tailored to your situation.

Frequently asked questions

How much life insurance do I need?

A common approach is to replace several years of income plus debts, mortgage and major future costs, minus savings and existing coverage. This calculator estimates that gap for you.

What is the DIME method?

DIME stands for debt, income, mortgage and education. It adds those needs together to estimate the coverage that would protect your family.

Is workplace life insurance enough?

Often not. Employer coverage is usually modest and may not continue if you change jobs, so many people add an individual policy.

How many years of income should I replace?

Match it to how long your family would depend on your income, for example until children are grown or the mortgage is paid off.