Life Insurance Calculator How Much Insurance Do You Need? Follow the example and apply your personal information in the third column. SAMPLE Your Information Monthly Income Needed Enter the estimated amount your family would need every month to maintain their standard of living. Example : $10,000 Combined Federal & State Tax Rate Enter combined federal & state tax rate expressed as a decimal ( e.g. 40 % =0.40 Example: 0.40 Capital NeededMonthly (monthly income/ 1- tax rate) Example: $ 16,666 Capital NeededAnnually (monthly capital x12 ) Example: $200,000 Rate of Investment Return Enter estimated rate of return expressed as a decimal rate (e.g. 8% =0.08) Example: 0.08 Capital Needed to Provide Annual Income ( Annual needed Capital/ rate of investment return) Example: $2,500,000 Other Expenses Enter combined total of all your other debts and future expenses( e.g., car loan, student loan, credit card debt, child’s college tuition, final expense or wedding) Example: $ 50,000 How much Capital do you Have? (Add all your assets) Example: $ 500,000 Life Insurance Coverage Estimate Add Annual Income + other Expenses – assets Example: $ 2,050,000 Below find some helpful tools, to determine your retirement income needs: Retirement Income Calculator: Determine the amount you would need to save over time in order to withdraw a specific monthly amount throughout retirement. Use below link. https://www.allianzlife.com/retirement-and-planning-tools/retirement-income-calculator https://www.allianzlife.com/retirement-and-planning-tools/retirement-income-calculator My Social Security Income: Go to the Social Security website and research what your estimated social security income will be. https://www.ssa.gov/myaccount/ College Calculator: Use this helpfull tool to determine how much you may need to save for college and find a savings option to fit your needs. https://www.fidelity.com/misc/college-savings/college_savings.html
