How much life insurance do you actually need?

Most people just guess. Put in a few real numbers and we'll add it up for you.

✓ Free✓ No sign-up✓ Your numbers stay on your screen

A few numbers about you
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$
$
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What we'd aim for
A sensible amount of cover
$930,000
A round number to start from, not a hard rule.

How it adds up

+Keep the family going (10 yrs of income)$600,000
+Pay off the home$180,000
+Clear the other debts$15,000
+Get the kids through college$200,000
+Funeral and final bills$10,000
−Savings you're leaving behind$25,000
−Cover you already have$50,000
Roughly what you'd want$930,000
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This is a rough guide to get you in the ballpark, not advice. Everyone's situation is different, and a real adviser can dig into yours.

How do you work out how much life insurance you need?

The idea is pretty simple. Add up the money your family would still need if your paycheck stopped: a few years of income to live on, whatever's left on the mortgage, any other debts, the big future bills like college, and the cost of a funeral. Then take off what they'd already have — your savings and any cover you've already got. What's left is the gap a life insurance payout would fill.

You can also just take a quick guess at ten times your income, and people do. But doing the real sum gets you closer to a number that fits your own life, which is what the tool above does. You only type in figures, and nothing you enter leaves your browser.

What goes into the number

  • Years of income — how long your family would lean on what you bring in. Ten years is a common place to start.
  • The mortgage — so they can stay in the house without that monthly bill hanging over them.
  • Other debts — car loans, credit cards, anything that wouldn't just go away.
  • College — about $100,000 per kid for a state school these days, once you count room and board.
  • The funeral — runs around $8,000 to $10,000 on average in the US.
  • What we take off — your savings and any cover from work or an old policy, since that money's already there.

Questions people ask

Is this free?
Yes. No account, no catch, nothing to pay. It runs right here in your browser.
Do I have to give my name or email?
No. You only type in numbers, and they never leave your browser. We don't ask who you are.
How accurate is it?
It's a solid ballpark using the same sums an adviser would start with. It's not a quote or proper advice — your real number depends on your full picture.
What's that “ten times your income” thing?
A quick rule of thumb some people use. Fine for a gut check, but adding up your actual debts and goals gets you a better figure, which is what this does.
Should I get term or whole life?
This works out how much cover you need, not which kind to buy. For most people term life is the cheaper, simpler choice — but it's worth talking through with someone before you sign anything.
How much does term life insurance cost?
A healthy non-smoker in their 30s can usually get $500,000 of 20-year term coverage for around $25–$35 a month. Rates go up fast with age — the same policy at 50 runs $100+ a month. Smokers pay about 2.5× more than non-smokers at any age.