Guide
How much life insurance do you need?
Access a calculator plus the logic it uses: years of income needed, debt amounts, education estimates, and existing protection.
A straightforward approach: calculate the years of earnings your dependents would lose, add significant debts and anticipated costs like education, then subtract any existing coverage or savings. This doesn't require exact precision—term coverage is priced in increments, and the target should be enough to sustain your household through the critical years.
Coverage estimate
Formula: (annual income × years needed) + outstanding debts + education costs − current savings and group coverage, then round to the nearest $5,000. This is a reference point to begin with, not professional guidance.
Why those inputs
Income years. Financial advisors often recommend protecting 10 to 20 years of income depending on how long your dependents will need support. Families in East Palo Alto with younger children typically select the longer window because peak expenses for childcare, housing, and education often overlap.
Debts. For many households, a mortgage represents the biggest debt obligation. Arranging coverage to eliminate this debt gives your survivors the freedom to make their own housing choice rather than having cash flow force the decision.
Education. Set aside a reasonable estimate per child in present dollars. Adding it to your coverage now is simpler than purchasing additional insurance down the road.
What you have. Count savings available for emergencies and employer-provided coverage. Keep in mind that workplace coverage typically ends if employment ends, so most households factor in only a portion of group benefits.
Once you've decided on an amount, head to the quote tool to compare pricing across 10- through 30-year options from all carriers. It's typical to select coverage somewhat above your estimate—the additional monthly cost is usually modest, especially when you're younger.