Survivor Income Shortfall Calculator
If your income stopped today, could your family pay the bills next month? Enter your numbers below and see exactly how big the gap is — and what it costs over the years.
What the Shortfall Really Means
In plain terms — what $0/month actually covers
Annual Shortfall Over Time
How the gap changes year by year with inflation factored in
Income Snapshot: Before & After
Year-by-Year Projection
| Year | Monthly Expenses | Survivor Income | Monthly Gap | Annual Gap | Running Total |
|---|
How to Close the Gap
✅ Tools That Can Fill an Income Shortfall
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Life Insurance (Term or Permanent) The most direct solution. A death benefit can be structured to replace income for exactly the number of years your family needs it. The right amount is roughly equal to the "Total Needed Over Time" this calculator shows.
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Fixed Indexed Annuities (FIA) A lump sum placed in an FIA can generate a protected, guaranteed income stream for the surviving spouse — even if markets drop. The income never runs out, no matter how long they live.
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Investment Portfolio with Income Rider Building a portfolio specifically designed to distribute monthly income can bridge the gap. The key is making sure the withdrawal rate is sustainable over the full time horizon.
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Pension or Social Security Optimization Many families leave survivor benefits on the table by not optimizing the primary earner's Social Security claiming strategy. A higher benefit now means a larger survivor benefit later.
How This Calculator Works
The Core Idea
Think of it like a paycheck going away overnight. If the household needed $4,800/month to survive but only has $2,000/month coming in after a death, the family is $2,800/month short. That's the shortfall — and it's real starting on day one.
Why Inflation Matters
The same grocery cart costs more every year. At just 3% annual inflation, a $4,800/month expense bill becomes over $6,300/month in 10 years. The shortfall grows right along with it unless the survivor's income keeps pace.
The Lump Sum Option
Instead of monthly income, some families fund the gap with a single lump sum (like a life insurance death benefit). That money is invested, and withdrawals cover the monthly shortfall over time. Enter a "Net Return %" to see how large that lump sum would need to be today.
What to Do With This Number
The "Total Needed Over Time" is your target coverage number. It tells you roughly how much life insurance or invested assets your family would need to never feel the gap. Compare this number against what you currently have in place.