How To Determine Term Life Insurance Amount?

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    David RacichPRO
    Fountain Hills, Arizona
    By the very nature of the question it addresses a temporary need. Based on that assumption: you need to total all debt short and long term, all future obligations such as child education and weddings and all future income needs for the life expectancy of the beneficiaries or 30 years whatever is sooner. That total number will be the starting reference point to design of defensive planning strategy to indemnify the death of the bread winner(s).
     
    Answered on May 23, 2013
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    Ms. Q. Harvelle
    Life Insurance Agent, Brokers Revolution,
    Many life insurance experts recommend about 6 to 8 times your annual salary for the amount of term life insurance that you may need; however, the figure will depend on your financial needs and goals. You have to factor in that mortgage, education expenses for children...basically whatever your family will need to survive and thrive when you're gone. Of course, since term life insurance is for a specific period of time, you will need to calculate how long you need this certain amount of money as well.
    Answered on May 23, 2013
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