Should you tithe on life insurance death benefits?
There are many instances where paying tithing on what can seem like a windfall, is very appropriate. The sale of a home with significant appreciation, should be tithed on the gains.
Life insurance can feel like a “windfall”, but that is not the purpose of life insurance. Life insurance, when purchased properly, is to replace the economic value of the insured.
The church doesn’t have a handbook that says “here’s what you should pay tithing on and when”. Tithing is 10% of your increase.
That said, life insurance is a financial tool to help offset a financial loss. To me, losing a breadwinner and having it be offset with insurance proceeds is more of a “financial wash” than an increase. I’d rather have my spouse, than the money.
The Lord will not refuse your offering to pay tithing… nor do I feel that your worthiness would be questioned if you decided not to tithe on life insurance death benefits. I would also recommend speaking to your Bishop and follow his advice as he is the one who holds stewardship over you.