Spoiler alert, this is not a Tech related blogpost!
When My husband and I migrated to Australia in 2010 we realised we need a crash course on understanding Australian accent. We started listening to barefoot investor podcast and somehow it changed our life later in 2013 when we bought our home. I thought to share the tips which we learnt and applied to pay off our mortgage in about 7 years.
1. Pay your mortgage weekly not monthly. The interest you pay is calculated daily, even if you pay a minimum by doing it you reduce your payback time from 30 years to 28 years!
2. Get variable rate loan and work out how much weekly you need to pay off your mortgage sooner than 30 years. Use https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/mortgage-calculator#!how-much-will-my-repayments-be
Compare options and find the amount you are comfortable with paying weekly. Set the direct debit and leave it as is.
3. Now, this is an interesting part, find out how much extra weekly you need to pay off your mortgage in 15 years or 10 years and how much your salary should be!
Use seek.com.au or any equivalent job search site in your country and look into the band you are on and then select on the next salary band. Find out what skill set is missing! Yes, this is what you need to work on and put in your KPI and tracking your progress in your 1:1.
The band you are currently on:
Go through the list carefully, find out what you are interested in, don't select random skills make sure it's in line with your passion and profession.
4. Don't waste your time on salary sacrifice tricks or how you can pay less tax! Focus on how much more you can earn!
5. The last and the easiest one, do not go shopping when you are hungry! Have a look at this following list. Pick those you are comfortable with to follow
https://www.moneysmart.gov.au/managing-your-money/budgeting/simple-ways-to-save-money
Have you finished your mortgage too? Share your tips in the comments section for everyone.
When My husband and I migrated to Australia in 2010 we realised we need a crash course on understanding Australian accent. We started listening to barefoot investor podcast and somehow it changed our life later in 2013 when we bought our home. I thought to share the tips which we learnt and applied to pay off our mortgage in about 7 years.
1. Pay your mortgage weekly not monthly. The interest you pay is calculated daily, even if you pay a minimum by doing it you reduce your payback time from 30 years to 28 years!
2. Get variable rate loan and work out how much weekly you need to pay off your mortgage sooner than 30 years. Use https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/mortgage-calculator#!how-much-will-my-repayments-be
Compare options and find the amount you are comfortable with paying weekly. Set the direct debit and leave it as is.
3. Now, this is an interesting part, find out how much extra weekly you need to pay off your mortgage in 15 years or 10 years and how much your salary should be!
Use seek.com.au or any equivalent job search site in your country and look into the band you are on and then select on the next salary band. Find out what skill set is missing! Yes, this is what you need to work on and put in your KPI and tracking your progress in your 1:1.
The band you are currently on:
versus the band you need to be on:
Go through the list carefully, find out what you are interested in, don't select random skills make sure it's in line with your passion and profession.
4. Don't waste your time on salary sacrifice tricks or how you can pay less tax! Focus on how much more you can earn!
5. The last and the easiest one, do not go shopping when you are hungry! Have a look at this following list. Pick those you are comfortable with to follow
https://www.moneysmart.gov.au/managing-your-money/budgeting/simple-ways-to-save-money
Have you finished your mortgage too? Share your tips in the comments section for everyone.
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