Guide
How much life insurance do you need?
How to work through the variables: years of income, remaining debts, education costs, and what you've already set aside.
A straightforward way to estimate: take your annual income and multiply by the years you want covered, add outstanding debts and education costs, subtract what you already have saved or covered by group policies. You won't get a precise number—and you don't need one. Term policies are sold in round amounts, and the point is landing on a figure that keeps your household secure during the years when it needs it most.
Coverage estimate
Estimate = annual income × years + debts + education − existing savings or group coverage, rounded to the nearest $5,000. This is your starting point, not professional guidance.
Why those inputs
Income years. Financial planners typically suggest coverage for 10 to 20 years of income. How many years depends on when your dependents will be self-sufficient. Families in Palmdale with young kids often pick the longer duration because the bills—childcare, housing, school—are heaviest all at once.
Debts. For most families, the mortgage is the biggest one. If coverage would pay it off, your family can choose whether to keep the house without being forced by cash flow constraints.
Education. Setting aside a rough per-child amount now, in today's dollars, is simpler than trying to add coverage later.
What you have. Count cash reserves and workplace group insurance. Keep in mind that group coverage generally ends when your employment does, so many households factor in only part of it.
Once you have a target amount, the quote tool will show you monthly costs across carriers for 10, 15, 20, 25, and 30-year terms. It's common to buy somewhat more than your estimate, since the monthly premium at younger ages doesn't increase much with additional coverage.