Home  ➔ Calculators  ➔ insurance  ➔ Term vs Whole Life Insurance Comparison

Term vs Whole Life Insurance Comparison

Compare the long-term cost and value of term life insurance vs whole life using "buy term, invest the difference."

Calculation Inputs

Calculation Results

📊

Enter inputs on the left and click Calculate to view results.

Formula & Methodology

"Invest the Difference" = FV of monthly (WL − Term premium) at investment return

"Buy term and invest the difference" often outperforms whole life. Whole life is appropriate for specific estate planning needs.

Frequently Asked Questions

Is whole life insurance worth it?

For most people, no. Term life + investing in a Roth IRA or 401(k) typically outperforms whole life's cash value accumulation.