Life insurance coverage calculator - calculation of the value of life insurance you need

Obviously there is no such thing as a fixed amount which is the figure for which you need to be covered by your insurance.
This amount will vary for everyone, depending on several factors, and you need to run through all of these considerations, so that the person who has a financial interest in your life or any member of the family will suffer unnecessarily when you die. This applies particularly in the case where you shuffle off this mortal coil in your space allocated score of three years and ten.
There is a golden rule by which some agents work, which says that you must provide for the equivalent of pay five to ten years. It may well be if your life is relatively simple and not complicated, but if you are a businessman or a father, there are some factors to consider.
1. Funeral expenses may be of the order of $ 6,000 to $ 10,000. You can even opt for separate funeral insurance so that your estate can remain intact.
2. If your fresh state death taxes, they can be quite significant. Check on them and provide accordingly.
3 Forget the mortgage for the moment and ask yourself what unpaid debt you have with such as credit cards, merchants and public services.
4. According to your lifestyle, your widow might need a cash reserve to deal with emergencies such as the medical treatment of children or the repair of the car.
5 Plan ahead for the education of children; more than $75,000 per year will each of them through college at least, and wise investment of your pension to widow of residues should see their on across ' varsity (but this will dictated by the terms of your will).
6. Without you as the support of family, that family living expenses be? This is a surprise for many to learn that go in an average family $ 25,000 to $ 150,000 per person.
7. If your wife is at work, ensure your life so that it does not have to keep work ends. Once you're dead, it will want to children, the time that you and it. It would be good not to see it on well-being; This is the idea of life insurance.
8 Consider your present assets, investments and savings, and ask yourself what value they are to meet the needs of your family. If these investments are significant and enormous interest before tax, your widow may be fairly comfortable without a lot of coverage of your life.
Plan well and do not sous-assurent your life when your family depends on you.