DIYers, This Will Quickly Show How Much Life Insurance You Need

There are a few methods we use to determine how much coverage we need. To keep this really simple, we’re going to use an easy to comprehend formula that often delivers results pretty close to more advanced systems we have to determine how much life insurance you need.

Your Monthly Nut (Monthly nut = bills to keep the lights and phone on, mortgage/rents on primary home paid, some money in savings, food on the table, and generally speaking, living your current life)
✖︎
Should You Die Today, How Many Years Do You Need To Cover Your Nut (i.e. kids out of college in 15 years, loan or payments end in 5 years)
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Less 25%
＝
What You Should Have For Life Insurance

Just to play with easy numbers, let’s assume your month nut was $5000 and your kids were going to be out of undergrad college in 10 years, this is what that would look like:

$5000 a Month
✖︎
10 Years
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$150,000 (Less 25%)
＝
$600,000 Coverage

We have a tool we use that we can send you or run the numbers for you. Email us or find a time here to learn more or get a deeper analysis.