3. How much life insurance do you need? Calculating resources- Part 2 Jacques and Kyoko Smith have completed Step 1 of their needs analysis worksheet and determined that they need $3,522,000 to maintain the projected Ufestyle of Kyoko (age 38) and their two children (nges 8 and 10) in the event of Jacques's (the primary earner's) death. The Smiths also have certain financial resources available after Jacques's death, however, so their life insurance needs are lower than this amount. It Jacques dies, Kyoko will be eligible to receive Social Security survivors' benefits-approximately $3,000 a month ($36,000 a year) until the youngest child graduates from high school in 10 years. After the children leave home, Kyoko will be able to work full-time and earn an estimated $46,000 a year (after taxes) until she retires at age 65. After Kyoko tums 65, she'll receive approximately $2,400 a month ($25,000 a year) from her own social Security and retirement benefits. The life expectancy for a woman within Kyoko's demographic is 87. The couple has also saved $60,000 in a mutual tund, and Jacques's employer provides him a $100,000 life insurance policy Using this information, complete Step 2 or the needs analysis worksheet to estimate their total inancial resources avaiente after death. (Note: If the value of a certain entry is zero, be sure to enter "o" to receive credit.) Using this information, complete Step 2 of the needs analysis worksheet to estimate their total financial resources available after death. (Note: If the value of a certain entry is zero, be sure to enter "o" to receive credit.) Life Insurance Needs Analysis Worksheet (Part 2) Step 2: Financial Resources Available After Death 1. Income Period 2 Period 3 $0 Period 1 $36,000 50 50 50 50 $36.000 $0 $36.000 $36,000 $20,800 $28.800 22 10 17 2. Annual Social Security survivors benefits b. Surviving spouse's annual income c. Other annual pensions and Social Security benefits d. Annual income (1a 1b + 10) e Number of years in time period 1. Total period income (id x 10) Total income 2. Savings and investments 3. Other life insurance 4. Other resources Total financial resources available (10 + 2+ 3+ 4) $360,000 5 $1,775,600 $60.000 $100,000 30 51.935,600