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Human Life Value Calculator

Estimate your economic life value as the present value of future income.

Calculated locally in your browser.

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Understanding your result

A higher discount rate lowers the present value. HLV is one lens on cover needs; the needs-analysis method is another.

Formula and method

Net contribution = income − own expenses. HLV = NC × [1 − (1 + r)⁻ⁿ] ÷ r (present value of an annuity); when r = 0, HLV = NC × n.

Worked example

(50,000 − 15,000) for 25 years at 5% discounting gives an HLV of roughly 493,000.

How to use this tool

  1. Enter your annual income and your own expenses.
  2. Add the years to retirement and a discount rate.
  3. Press Calculate.

Common mistakes to avoid

  • Using gross income without subtracting personal expenses.

About the Human Life Value Calculator

Human Life Value (HLV) estimates the economic value of your future earnings to your dependants — the present value of the income you would contribute until retirement.

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Frequently asked questions

HLV or needs analysis?

They answer the question differently; many advisers consider both. Use the Life Insurance Calculator for the needs approach.