If I had a dime for every time a client asked me how much life insurance they should have, I could have retired yesterday- seriously!  

With today’s ease of technology and the readily-available abundance of potentially overwhelming information on the internet, it can be difficult to make sense of how best to approach the subject of life insurance, and it is for that very reason that working with a professional to build the best strategy is the most effective.  Like any major decision that affects our loved ones, take the time to understand how life insurance works, the differences between companies and products, and of course how much is the right amount to provide for your family in the unfortunate circumstance that you are longer here to do so. 

Cheap and cheerful may be the right approach when looking for a great taco spot, but not necessarily the approach you want to take when looking at how to posthumously provide for your family. 

There is no standard amount, no one-size-fits-all when it comes to life insurance.  Every family and their situation is unique.  When determining the amount of coverage for an individual, there are several things to consider.  And everyone has different priorities.  Not all parents feel it is incumbent upon them to provide for their children’s college education.  Others think that it is imperative that their kids do not take on any debt for college, but once they finish school, they are on their own.  Some parents want to leave a legacy for their adult children and maybe even their grandchildren, others may not feel it is their responsibility to do so.  Some individuals want to leave behind a comfortable cushion that will ensure that their family will not have to make any changes to their way of living and see that their mortgage is paid off in full. 

And like all things, as time passes, the financial needs of your family continue to change in a variety of ways.  That is another reason why it is also important to meet with your insurance specialist annually to review your coverage and make any necessary adjustments or changes.  Make a plan as fluid as life itself.  You want to create a strategy that will evolve and change like the needs and wants of your family. So where do you start? What factors should you consider? How do you calculate an amount based on so many variables?

There are a variety of ways to determine the amount of coverage one needs to leave for their loved ones. Click here for a few different approaches on how to calculate the right amount of life insurance for you.  And consider me a resource if you have any questions along the way!