Start with the life your family would need to keep paying for. A salary multiple may begin the conversation, but your household's bills, responsibilities, savings, and timeline make the question more personal.
TDI suggests considering debts, income that would need replacing, and other expenses when deciding on an amount. Employer coverage is also worth reviewing because it typically ends when you leave the job. TDI: Life insurance guide
Build a household needs worksheet
Use these 4 sections. Estimates are fine for the first conversation; label them so you can refine them later.
Immediate needs: List debts or expenses you would want addressed soon after a death. Be specific about what you expect insurance to accomplish.
Ongoing support: Estimate the monthly gap the household would face, then choose a period to discuss. Consider how that gap might change as children grow or debts are paid down.
Caregiving: Identify work that would need replacing, including childcare or support for a dependent relative. A person does not need a paycheck to make a financial contribution to a household. Farmers includes the needs of stay at home parents in its life insurance planning discussion. Farmers: How life insurance works
Resources: List existing coverage and savings you actually intend to use for these needs. Keep emergency savings, retirement goals, and uncertain future benefits separate so you do not count the same dollars twice.
Use arithmetic to ask better questions
For illustration only, a $2,000 monthly gap over 5 years totals $120,000 before considering inflation, investment returns, taxes, or changes in expenses. That is a planning starting point, not a recommended coverage amount or an assessment of your finances.
The useful follow up is: Why 5 years? What happens afterward? Which expenses are already included? These questions help turn a round number into a more thoughtful discussion.
Choose an amount and payment you can maintain
Bring the worksheet to an agency conversation about available coverage, application requirements, and cost. Ask which assumptions deserve another look and how different term lengths would fit the responsibilities you listed.
Review the plan after major household changes. Keep beneficiary information current and make sure a trusted person knows where the policy records are stored.
Your next step: Start a Life insurance conversation. Share contact details online; discuss private health or financial information through the appropriate application process.