Been having this thought nagging at the back of my head lately folks. I’m currently on a 30-year fixed mortgage, been paying it off for about 5 years now if I remember correctly. The interest rate is as typical, nothing to celebrate or cry over.

Recently came into some unexpected cash flow. Not life-changing money or anything, but enough to hit a couple months of payments in advance. Here’s where the old noggin starts spinning - are there any legitimate benefits to making those early payments? Right now that cash is just sat in a standard savings account gathering dust, and I just can’t help but think it’s not doing any good in there.

Logically, I figure paying off the mortgage early would obviously free up my budget in the future. But then there’s the question of what would I be sacrificing right now? Would those funds be better off going towards retirement savings, or thrown into some stocks? Is the peace-of-mind worth it, so to speak?

Honestly just kind of typing out loud here. But I’m sure some of you clever folks have been in a similar conundrum or maybe pondered the same thing over your morning coffee. What do you reckon? Is there a downside I’m missing? Or maybe there’s an upside that I hadn’t even thought about? Let’s talk about it. Help me lay these nagging thoughts to bed, will you? Appreciate any and all insights.

Well, given the low interest rates nowadays, it’s always a battle of where your money could earn the most. If you pay off your mortgage early, you save on the interest. But have you thought about how much that money could potentially earn if you put it into a retirement account or buy some shares?

Then again, clearing the mortgage early would be a great feeling, less stress of debt hanging over you. So really, it depends on what your priorities are. Making more for retirement, or peace of mind? Both are worth considering.

Sort of a “talk it out with the pillow” situation, mate! But no matter what you decide, the important thing is that it’s something you’re comfortable with.

Hey, sounds like you're in a pretty good spot with that unexpected cash! I've been in a similar situation before. Paying off a bit of your mortgage early can definitely save you on interest in the long run, which is always nice. Plus, there's something to be said for the peace of mind that comes with reducing debt. 😊

However, it's worth considering if you have any higher-interest debts to tackle first, or if your retirement savings could use a boost. Sometimes, diversifying into stocks or other investments might offer better returns, but it's a bit of a gamble. Maybe a mix of these options could work? A financial advisor could offer some tailored advice too. Whatever you choose, it's great that you're thinking ahead!