How much life insurance
do you actually need?
Most life insurance "estimates" give you a generic multiple of your income and call it done. The DIME method goes further — it adds Debts, Income replacement, Mortgage, and Education needs into one coverage figure that actually maps to your family's situation. Adjust the inputs below, watch the math break down in real time, and see exactly where the recommended number comes from.
Build the number, piece by piece.
Move the sliders and the math updates instantly. When you're ready, get your full Coverage Needs Report, or answer a few quick questions and book a call with Tony.
Your Coverage Needs Report breaks down every piece of the number and what typically fills a gap like yours. Prefer to talk it through? Answer a few quick questions and pick a time on Tony's calendar.
Estimate for illustration only, using the DIME method: 10 times income, plus debts, mortgage and $100K per child, minus existing coverage and savings. Not an insurance quote or a recommendation to buy any policy. Full method and limitations.
A few quick questions so Tony comes to your call prepared. You'll see his open times right after.
Which best describes you?
Protection needs look different for a surgeon, a practice owner and a business owner. This tailors your report.
What life insurance do you have today?
Coverage through work often ends when you change jobs, so it matters where yours comes from.
How old are you?
Age shapes which kinds of coverage make sense and how long you'll need them.
When would you like coverage in place?
There's no wrong answer. It helps us know what to send you.
Where should we send your report?
Your report opens on this page right away. We'll email you a copy so you can come back to it.
How this calculator works, and its limitations
Method. The calculator uses the DIME method: Debts (not counting the mortgage), plus Income replacement at 10 times your annual income, plus your Mortgage balance, plus Education at $100,000 per child. It then subtracts the life insurance and savings you already have. What's left is the estimated coverage gap.
Limitations. Results are estimates, change with each use and over time, and are not a guarantee of any outcome. The calculator does not account for a spouse's income, inflation over the life of a policy, changing needs at different life stages, Social Security survivor benefits, final expenses or estate costs, business obligations such as buy-sell or key person needs, or disability income protection.
Not a quote or recommendation. The calculator does not recommend any type of policy, product or insurer. Coverage availability and premiums depend on underwriting, including age and health. Policy guarantees depend on the claims-paying ability of the issuing insurer.
Insurance products are offered through individually licensed and appointed agents. Advisory services are offered through Acrylic Financial, a registered investment adviser. This tool is for educational purposes and is not personalized insurance, investment, tax or legal advice.
Four numbers add up. Here is what each one is for.
The DIME formula isn't arbitrary — each component matches a specific real-world need that life insurance is designed to cover. Understanding what each one is doing helps you decide whether the recommendation actually fits your situation.
Settle what you owe
If something happened to you, your family shouldn't inherit the credit cards, the auto loan, the personal line of credit. The "D" in DIME makes sure there is enough coverage to settle non-mortgage debts in full so your loved ones start from zero, not negative.
Replace future earnings
The "I" multiplies your annual income by 10. The reasoning: a properly invested death benefit can produce roughly 4–5% annual income at sustainable rates. So 10x income, invested, can replace roughly half to all of your earnings for years — covering daily living expenses while your family adapts.
Keep the home, fund the future
The "M" pays off the mortgage so your family stays in the home without housing pressure. The "E" sets aside $100K per child for education — a conservative estimate for a meaningful college fund. Together, they protect the two largest predictable expenses any family will face.
What this calculator does not account for.
DIME is a useful starting point — but real planning is more nuanced. Here's what we deliberately left out, and why a real conversation accounts for all of it.
- Term vs. permanent insurance. The calculator tells you a total coverage amount, not which type of policy fits. Term insurance is usually the right fit for income replacement during working years; permanent insurance fits specific situations (estate liquidity, business buy-sell, lifelong dependent care).
- Your spouse's income and working status. A two-income household may need different coverage than a single-income household. The DIME formula treats one income as "the income to replace" — real planning accounts for both.
- Inflation over the policy life. $2 million today is not $2 million in 20 years. Real planning either factors in inflation or layers term policies to maintain real purchasing power.
- Varying needs by life stage. Young children need 18+ years of support. Teenagers need 5–10. Empty-nesters may not need income replacement at all. The DIME formula gives a flat answer; real planning adjusts coverage as the need shifts.
- Disability income protection. Statistically, the chance of a long-term disability during working years is meaningfully higher than the chance of premature death — but disability insurance isn't part of this calculator. For most working professionals, both matter.
- Business succession needs. Business owners often need additional life coverage for buy-sell agreement funding, key-person protection, or estate liquidity to settle business interests. DIME doesn't model these.
- Existing assets that can fund needs. Beyond the "existing coverage + savings" input, real planning looks at investment accounts, real estate, and other assets that could partially fund needs without requiring insurance.
- Underwriting class and pricing. Two people with the same coverage need can pay dramatically different premiums based on health, age, and lifestyle. The recommended amount tells you what to aim for — not what it will cost or whether you'll qualify.
Calculator questions, answered.
Common questions we hear about the DIME method and how to use the result. See all 25 FAQs →
What is the DIME method?
Why use 10 times income for the income replacement portion?
Should I get term life or permanent life insurance?
What does the calculator not account for?
Is the recommended coverage amount what I should buy?
A number is a start.
A plan goes further.
If your DIME result surprised you — in either direction — thirty minutes on a call is enough to talk through what kind of policy actually fits, how to structure it, and what your premium will look like. No sales pitch. No obligation. Just a CFP® looking at your full picture.