How much life insurance do you need?

Life insurance is a necessity if your family depends on your salary for housing expenses, servicing debt, and general living.  But how much life insurance do you need?

We can use a this simple rule

L oans and debts

I  income remplace

F final expenses

E education


We’ll start with how much debt you have, not including your mortgage. This includes any credit cards, lines of credit, car loans, and any student loans.


Next, we need to calculate how many years your family would need your support, and multiply your annual salary by the required years. The number of years can be until your child graduates high school, leaves university, or buys their own house – this is up to you.

F(inal expenses)

Your funeral estimate is $15,000


How much will it cost in twenty years to send 2 kids off to college? What if they end up wanting to do their masters, PhD, or even a college diploma? Will they study at home or abroad? These are all costs you’ll want to have covered. 

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