DIME Formula: Comprehensive Life Insurance Needs Calculator

Debt

First, let's talk about debt. This includes any money you owe, like credit card bills or a car loan. Add up how much you owe and how long it will take to pay it off. This is important because if something happens to you, your loved ones don't want to have to worry about paying off your debts.

Income

Next, think about your income. This is the money you make from your job or any other sources. Add up your income and any money you might make in the future. Multiply this number by the number of years you want your loved ones to be protected. This is important because if something happens to you, your loved ones will need money to live on and pay their bills.

Mortgage

Now let's talk about your mortgage. This is the loan you have on your house. Add up how much you owe and how long it will take to pay it off. This is important because if something happens to you, your loved ones don't want to have to worry about paying off your mortgage on their own.

Education

Finally, think about the cost of education for your children or other dependents. This is how much it will cost to send them to school. Multiply this number by the number of years you want them to be able to go to school. This is important because if something happens to you, you want your children to be able to go to school and get a good education.

Expenses

In addition to these things, you should also think about your expenses. This includes things like the cost of living, like rent and food, and other regular bills, like medical bills, taxes, funeral expenses and insurance premiums. Add up all of your expenses and any future increases you think there might be. This is important because if something happens to you, your loved ones will need money to pay for their everyday needs.

Once you have added up all of these amounts, you will have a good idea of how much life insurance you need. This will help make sure your loved ones have the financial support they need if you die. It's important to review your life insurance regularly to make sure you have enough coverage.

This way, you can have peace of mind knowing that your loved ones will be taken care of if something happens to you.