The Big Payoff

Retirement in your near future? Are you thinking of refinancing a mortgage or paying it off?

With mortgage rates at historic lows and record financial marketplace highs, the answer may not be so obvious. Over the weekend, I read an article by Katy McLaughlin in the Wall Street Journal titled  “The Big Payoff.” I found this article hit home since I’m considering the same decision. What are the benefits of carrying a mortgage or not?

The article addresses several pertinent questions:

  1. Find your real mortgage rate. What is the cost of the mortgage coupled with how you file your taxes?
  2. Project the rate of return. Seek out professional advice such as an accountant, CPA, CFP, financial advisor for their insight on the different options, including the “Worst-case” scenarios.
  3. Strategize portfolio withdrawals to make the payoff. Are you considering utilizing tax-deferred funds (IRA/401K)? Alternatively, consider the rainy day funding for the possibility of future healthcare and medical expenses in retirement.
    • When considering distributing deferred funds, first, weigh out the financial and tax consequences with the benefits of re-purposing those funds for a Hybrid LTC option to cover the potential costs related to Aging in Place for Hands-On Assistances.
  1. Feel good about your decision.

In the end, your decision is feeling comfortable and giving you Peace of Mind.

Read Article

Tax-Deferred Long-Term care Insurance options

© Your Life Security, LLC 2021