Life Insurance Calculator
What this quick estimate measures: Use this calculator for a fast first estimate. It adds immediate obligations and the present value of an income gap, then subtracts liquid savings, individual coverage and employer coverage.
Estimate how much life insurance you may need with a quick DIME-style calculation for debts, income, major goals and existing resources.
What the coverage equation includes
Debts, final costs, major goals and an emergency reserve are added to the present value of the annual income gap. Liquid savings, individual coverage and employer coverage are subtracted.
When this model is useful
Use this page for a first-pass coverage target when you know the obligations, annual income gap, support period, expected growth and available resources.
When a separate detailed model helps
It keeps household support in one income input. Use the detailed estimator when survivor benefits and paid replacement care must be modeled separately. Open the detailed coverage needs estimator.
Household example
A household can enter debts, final costs, education, an emergency reserve and a 15-year income gap, then test how need growth and an expected return affect the present-value target.
Run two more cases
Shorten the support period for a lower case. Reduce the return assumption or increase the annual income gap for a higher case. Keep each changed assumption visible.
Is this the right calculator for a first estimate?
- Growth and return are assumptions, not guaranteed outcomes.
- Taxes and uncertain survivor benefits are included only when you adjust the income figures.
- The result is a planning target, not an insurer quote or approval.
Questions about the coverage total
Is this life insurance calculator an insurer quote?
No. It is an educational coverage estimate. An insurer sets the actual premium and available benefit after reviewing an application.
Should I subtract retirement savings from the result?
Subtract an asset only if survivors could use it for the stated need without harming another essential goal. Run a second scenario when availability is uncertain.
Related life insurance guidance
Read how much life insurance do i need?, then use the life insurance glossary for unfamiliar contract terms.