How do I calculate life insurance using the DIME method?

DIME stands for Debt, Income, Mortgage, and Education, and it gives you a fast, thorough estimate of how much life insurance you need. Add up all Debts besides the mortgage (cards, auto, personal loans), then Income replacement (your annual salary times the number of years your family needs support, often 10 to 15), then your outstanding Mortgage balance, then future Education costs for your children. The total is a starting coverage target. DIME tends to run higher than the simpler income-multiple method because it accounts for specific obligations rather than a round rule of thumb. Run your own numbers with the Insurance Calculator at wealthserene.com/tools/insurance-calculator, and revisit the figure after major life events like a new baby, a home purchase, or a big raise.