How can I calculate how much life insurance coverage I actually need?

How can I calculate how much life insurance coverage I actually need? I'm trying to understand how to calculate an appropriate amount of life insurance coverage rather than relying only on a general rule such as a multiple of annual income. For example, should the calculation include outstanding debts, mortgage payments, future income replacement, funeral expenses, and the financial needs of dependants? Would it make sense to first estimate the total financial obligations my family could face and then subtract existing savings, investments, and other available resources? I'm interested in learning whether there is a practical method or framework for calculating an appropriate coverage amount and which factors people commonly overlook.