Life Insurance Calculator
This free life insurance calculator applies the DIME method to your debt, income, mortgage and education figures, then subtracts the savings and coverage you already hold. Every line of the math stays on screen, the 10x income rule sits beside it, and you set the replacement years. Copy the full breakdown, no email, nothing uploaded.
DIME method result
$0
This is what the DIME method produces from the numbers you entered, not a recommendation.
| Debt | $0 |
| Final expenses | $0 |
| Income replacement | $0 |
| Mortgage | $0 |
| Education | $0 |
| Total obligations | $0 |
| Savings and investments | -$0 |
| Life insurance you already have | -$0 |
| Result | $0 |
For comparison, the 10x income rule
$0
Two different methods, shown side by side. Neither is the correct one.
This calculator is informational. It performs arithmetic on the numbers you enter and does not provide financial advice, compare policies, name insurers or quote prices. It does not replace a licensed professional.
What does this calculator do?
It applies the DIME method to the numbers you enter and shows the whole calculation, line by line, instead of handing you a single figure to trust.
- Every line is visible. Debt, income replacement, mortgage and education appear as separate amounts before they are added, so you can see exactly where the total comes from.
- It subtracts what you already have. Savings, investments and any policy held through an employer are taken off the total. This is the step most calculators skip, and it is the reason DIME has a reputation for producing inflated figures.
- The 10x income rule sits beside the result. Most people arrive having heard that rule, so the page shows both numbers and the distance between them.
- No email, no phone, no quote form. Nothing is asked for beyond the figures used in the arithmetic.
How the DIME method works
DIME is an acronym for the four obligations it counts:
| Letter | What it counts | How it enters the math |
|---|---|---|
| D | Debt and final expenses | Added at face value |
| I | Income replacement | Annual income × the number of years you set |
| M | Mortgage | Outstanding balance, added at face value |
| E | Education | Estimated future cost for children |
Those four are added together. Then savings, investments and existing coverage are subtracted, because money already in place would be available to a household and counting the obligation twice inflates the answer.
The years figure in the income line is the one that moves the result most. Doubling it can double the largest component of the whole calculation, which is why the page keeps that line separate and visible rather than folding it into a total.
Why the 10x income rule gives a different answer
The 10x rule uses one input to approximate something that depends on four. A household with no mortgage, no children and savings in the bank, and a household with a large mortgage and two children heading to university, can earn identical salaries and land in completely different places once the arithmetic is done.
Neither figure is the "right" one. They are two different methods, and seeing them side by side shows you how much the extra detail changed the outcome.
What this tool does not do
- It does not tell you what to buy. No policy type, no term length, no insurer, no judgement about whether your situation is adequate. It performs arithmetic on numbers you chose and explains the method behind it. Those decisions belong to you.
- It does not quote a price. Premiums depend on age, health, medical history, tobacco use and each insurer's underwriting. Arithmetic cannot predict any of that, and a calculator that produces a price without it is guessing.
- It does not say "recommended coverage". That phrase is the industry standard and we avoid it on purpose, because a recommendation implies advice. What the screen shows is a result: a published method applied to your own figures.
- It does not account for inflation or investment growth. DIME works in today's money. A figure meant to support a household for twenty years will buy less in year twenty than in year one, and this calculation does not adjust for that.
- It is not financial advice. This page is informational and does not replace a licensed professional.
Is my information private?
Yes. Every number you type stays in your browser, and the arithmetic runs on your own device. Nothing is uploaded, logged or stored anywhere, there is no account, and there is no email field to fill in. Close the tab and all of it is gone. That is also why the result appears the instant you type, with nothing to submit and no one to wait for.
Frequently asked questions
How much life insurance do I need?
That depends entirely on your own numbers, which is why this page calculates rather than answers. The DIME method adds your debt, the income your household would need to replace, your mortgage balance and future education costs, then subtracts savings and any coverage you already hold.
What is the DIME method?
DIME stands for Debt, Income, Mortgage and Education. It is a framework used by financial planners to turn four concrete obligations into one figure, instead of guessing from income alone. Each letter is a separate line of arithmetic, and this calculator shows all four separately before adding them.
Why does this subtract my savings and existing coverage?
Because the DIME method is known to overestimate when it skips that step. Money already set aside, and a policy already held through an employer, would both be available to your household. Leaving them out inflates the figure. Most calculators leave them out; this one asks for them.
Is 10 times my income enough life insurance?
The 10x income rule uses one input to approximate something that depends on four. Two households earning the same amount can land far apart once mortgage, debt, children and existing savings enter the arithmetic. This page shows the 10x figure beside the DIME figure so you can see the gap.
How many years of income should the calculation replace?
That number is yours to set, and the calculator uses whatever you enter. Common horizons are the years until the youngest child finishes school, or the years until retirement. Changing the field changes only the income line, and the page shows that line separately so the effect is visible.
Does this calculator tell me which policy to buy?
No, and that is deliberate. It performs arithmetic on numbers you supply and explains the method behind it. It does not compare policies, name insurers, suggest term lengths or judge whether your situation is adequate. Those are decisions for you, with a licensed professional if you want one.
Does it tell me how much a policy will cost?
No. Premiums depend on age, health, medical history, tobacco use and each insurer's underwriting, none of which arithmetic can predict. A calculator that quotes a price without that information is guessing. This page stays with the coverage figure, which is the part that can be calculated honestly.
Does the mortgage belong in the calculation if my partner also works?
The DIME method includes the full outstanding mortgage balance, because the method treats it as an obligation the household would still owe. Whether that matches your situation is yours to judge, and you can enter a partial figure or zero. The page shows that line on its own either way.
Is my financial information sent anywhere?
No. Every figure you type stays in your browser and the arithmetic runs on your own device. Nothing is uploaded, logged or stored, there is no account and no email field, and closing the tab clears everything. That is also why results appear instantly with no waiting.
Why does this page avoid the phrase recommended coverage?
Because a recommendation implies we are advising you, and we are not. The figure on screen is the output of a published method applied to numbers you chose. Calling it a result rather than a recommendation is a small wording change that keeps the distinction honest and visible.
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Last updated: September 19, 2026