Life insurance
How much would your family need?
Know how much coverage is enough.
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Final expenses are the bills your family pays in the weeks after a death. Enter your own estimates to see the total and the gap that savings or insurance would need to fill.
Showing the worked example. Change any number to see your own result.
$12,500Gap to cover
Your final expenses add up to about $16,000. After $3,500 already set aside, the gap is $12,500. That is the amount a small life insurance policy or dedicated savings would need to cover.
| Years from now | Total final expenses |
|---|---|
| Service | $8,000 |
| Burial or cremation | $4,000 |
| Headstone or marker | $1,500 |
| Legal and estate costs | $2,000 |
| Other costs | $500 |
| Service | $8,000 |
|---|---|
| Burial or cremation | $4,000 |
| Headstone or marker | $1,500 |
| Final medical bills | $0 |
| Legal and estate costs | $2,000 |
| Debts to clear | $0 |
| Other costs | $500 |
| Total final expenses | $16,000 |
| Minus money already set aside | −$3,500 |
| Gap to cover | $12,500 |
Save up to 3 versions of your inputs and compare them side by side.
Final expenses are the costs your family faces shortly after a death: the funeral or memorial service, burial or cremation, a marker, the last medical bills, legal and estate costs, and small debts that need clearing. They arrive fast, often before any life insurance pays out, so it helps to know the number in advance.
This calculator adds those costs from your own estimates and subtracts money already set aside, so you can see the gap that savings or a small policy would need to cover.
The Federal Trade Commission’s Funeral Rule gives you the right to an itemized general price list when you visit a funeral home, and to price information by phone. That price list is the best source for the first three lines of the calculator. Ask two homes, because prices for the same service can differ a lot.
The FTC also notes that you can choose only the goods and services you want, and that a funeral home must accept a casket or urn you buy elsewhere.
Total final expenses = service + burial or cremation + marker + medical + legal + debts + other
Gap = total − money already set aside
The calculator opens with this illustrative example. The prices are examples only; use your local price list.
| Cost | Amount |
|---|---|
| Funeral service | $8,000 |
| Burial | $4,000 |
| Headstone | $1,500 |
| Legal and estate costs | $2,000 |
| Other costs | $500 |
| Total | $16,000 |
| Minus savings set aside | −$3,500 |
| Gap to cover | $12,500 |
If the family chose cremation without a burial plot, the burial and marker lines might fall sharply, which is why the tool lets you change each line.
| Line | Traditional burial | Cremation with memorial |
|---|---|---|
| Service | Viewing and ceremony | Memorial service, often smaller |
| Burial or cremation | Casket, plot, opening and closing | Cremation fee and urn; niche optional |
| Marker | Headstone often expected | Often optional |
| Mistake | Why it matters |
|---|---|
| Forgetting medical and legal costs | They can be as large as the funeral itself |
| Using a national average | Local prices vary widely |
| Counting a term policy that will expire | Final expenses happen whenever death happens |
| Not telling family where the money is | Cash that cannot be found does not help |
Write down your wishes and where the money is kept, and share them with someone you trust. If you are sizing a full life insurance plan, use the life insurance checker; if you receive group life through work, the imputed income calculator shows its tax cost.
It depends on the choices you make, such as burial or cremation, and on local prices. Getting an itemized price list from a nearby funeral home and adding medical, legal and small debts gives a realistic total.
Yes. Under the Federal Trade Commission's Funeral Rule, funeral homes must give you an itemized general price list when you ask in person, and give price information by phone if you ask.
It is a small whole life policy, often $5,000 to $25,000, sold to cover end-of-life costs. A larger term policy or savings can also cover these costs, and may cost less if you are younger and healthy.
Usually yes. The DIME method adds final expenses to debts, income, mortgage and education. Our life insurance checker includes a final expenses line for that reason.
Yes, but payouts can take days or weeks. Some families also use a payable-on-death bank account so cash is available quickly.
Funeral costs are not deductible on an individual income tax return. They may be deductible for an estate that files an estate tax return.
Social Security may pay a small one-time death payment to a surviving spouse or child who meets the rules. It covers only a small part of typical funeral costs.
Educational information, not insurance, legal or financial advice. Coverlee does not sell insurance. How we calculate
How much would your family need?
Calculate the taxable imputed income on employer group-term life insurance over $50,000, using the IRS Table 2-2 rates. Free, with a worked example.
Use the DIME method to estimate life insurance: add debts, income, mortgage and education, then subtract the cover and savings you already have.
Term vs whole life insurance explained: what each costs, how cash value works, and why the size and length of your need usually decides it.
Group life insurance through work is a useful start, but it is often modest and can end when you leave. How to check if yours is enough.