To determine how much life insurance you need, fill in the blanks on this work sheet. Do not enter any values into the fields that are already displaying a zero. These fields will be calculated for you. (Enter numeric values only into each field. Do not use commas, dollar signs, etc.). Skip those items that do not apply.

Calculation Factors	Your Estimates ($)	Sample Estimates ($)
1. Annual income objective		*53,388*
2. Minus other sources of annual gross income
Surviving spouse’s salary		30,000
Investment earnings		820
*Social Security		15,000
Pensions, annuities		0
Miscellaneous (rental income, etc.)		0
Total annual income		45,820
3. Annual income shortfall (Subtract total of Item 2 from Item 1)		7,568
4. Amount of death benefit needed to generate annual income in Item 3 (Divide amount in Item 3 by .04)		189,200
5. Expenses
Funeral/cremation
Final hospital stay/illness
Estate probate costs
Federal estate taxes
State inheritance taxes
Expense sub-total		10,200
Mortgage balance (if rent/mortgage payment is not included in Assessing Your Life Insurance Needs work sheet)		0
Education fund		44,232
Emergency fund		6,480
Other outstanding debts		5,000
Total expenses		65,912
6. Preliminary insurance needs (Add total of Item 4 and Item 5)		255,112
7. Existing assets/other insurance
Group life through employer		36,000
Personal life coverages		0
Lump-sum pension payable at death		36,200
Savings		3,300
Securities		5,000
IRA and Keogh plans		0
Employer savings plan, 401(k)		0
Other liquid assets		8,000
Total assets/insurance		88,500
8. Total life insurance needed (Subtract total of Item 7 from Item 6)	$	$166,612

You may print this form for your convenience,
or press the Reset button to try a different set of numbers.

*The amount of Social Security benefits received depends on several factors. Consult your Social Security statement each year to determine your Social Security benefits.

Updated Thursday, August 09, 2007