Life Insurance Calculator
Estimate the life insurance coverage your family needs using the DIME method.
This is an estimate, not insurance advice. Your actual coverage needs, plan costs, and payouts depend on your policy, insurer, and personal situation.
How it works
DIME stands for Debt, Income, Mortgage, and Education — the four buckets most families need covered if a breadwinner is gone. You add them up, then subtract what you've already got saved or insured, and what's left is roughly the policy size to shop for.
The income piece usually drives the total. Multiply the annual income you'd want to replace by the number of years your family would lean on it — often until the kids are grown or a spouse reaches retirement. Ten years of a $50k salary is half a million dollars right there.
Debt and mortgage clear what your household owes so nobody inherits the payments, and the education line sets aside college or school costs. Subtracting existing savings and any coverage through work keeps you from over-buying a policy you don't need.
Frequently asked questions
What does DIME stand for?
Debt, Income, Mortgage, and Education. You total those four needs, then subtract existing savings and coverage. It's a quick, widely used rule of thumb for sizing a term life policy without guesswork.
How many years of income should I replace?
A common choice is the number of years until your youngest child is independent or a spouse retires — often 10 to 20 years. Longer periods mean a bigger policy, so pick the horizon that matches your family's real dependence on that income.
Should I include my mortgage separately from other debt?
Yes. The calculator keeps them apart so you can enter your remaining mortgage balance in its own field and other debts — cards, car loans, student loans — in the debt field. Together they clear what your household owes.