What this calculator does

Uses Capital Needs Analysis (CNA) — the standard method used by South African financial planners — to calculate the total life cover your dependants would need if you died today. It combines income replacement (the present value of your future earnings), debt clearance, final expenses, and an emergency buffer, then subtracts your existing cover and liquid assets to give a net cover gap.

How to interpret your results

The recommended figure is the gap between what your family needs and what you already have. If your existing policies and savings already exceed your calculated need, the result will be zero — your family is covered. A large number typically reflects a long income replacement period or significant outstanding debt.

Assumptions applied

• Income replacement is calculated as the present value of a level annuity using your real return assumption. This assumes the lump sum is invested and drawn down over the replacement period.
• Real return is the investment return after inflation. The default of 5% is a conservative long-term assumption for a balanced portfolio.
• Debt balances are outstanding balances today — not original loan amounts.
• Existing group life cover through employers is included as an offset — check your payslip or HR portal for the exact multiple.
• Premium estimates use an industry average rate for non-smoking adults aged 25–55. Actual premiums depend on age, health, smoker status, and insurer.

What this calculator doesn't account for

• Does not model disability or dread disease cover, which require separate calculations.
• Income replacement assumes a lump sum investment — it does not account for how beneficiaries actually manage the money.
• Funeral costs vary widely. The default of R30,000 is a mid-range estimate for a basic SA funeral.
• Premium estimates are indicative only and should not be used as a basis for any financial decision.
• Does not account for inflation-linked increases in your cover needs over time.