Term vs. Whole Life Insurance Calculator
What this policy-cost comparison can show: This calculator compares premium outlay, a hypothetical invest-the-difference scenario and cash values copied from an insurer illustration. It keeps guaranteed and current illustrated values separate.
Compare term and whole life premiums over time and model an optional invest-the-difference scenario without treating projections as guarantees.
What this comparison answers
It shows the premium outlay difference and a hypothetical value from investing that monthly difference. It does not estimate whole life cash value or declare one policy type better.
Worked premium comparison
A $45 monthly term premium and a $420 monthly whole life premium differ by $375 each month. Over 20 years, the premium outlay differs by $90,000 before considering policy values, tax treatment, fees or investment results.
Is this the right calculator for comparing policy structures?
Use it with comparable offers
Use this page after obtaining comparable term and whole life offers, including death benefits and the insurer's illustration values for the same comparison year.
Do not use it as a suitability verdict
It compares entered values and a hypothetical investment, not policy suitability. Read the policy comparison guide before interpreting the result.
Read the term versus whole life comparisonValues that remain outside the model
- The investment projection is hypothetical even when fees and tax drag are entered.
- Whole life cash values must be copied from the insurer illustration and are not predicted here.
- Compare equal death benefits and verify how long each premium is guaranteed.
Questions about the comparison
Does the calculator estimate whole life cash value?
No. Enter the guaranteed and current illustrated values from the insurer's document for the selected year. The calculator displays them without predicting them.
Is investing the premium difference guaranteed?
No. The projection uses the return, fee and tax-drag assumptions you enter. Test several returns, including a low or zero-return case.
Related life insurance guidance
Review term life insurance explained and check policy language in the life insurance glossary.