Tuesday, November 27, 2012
Utilizing mortgage calculators to figure out interest costs over time helped us cut thousands of dollars in interest off our loan amount. Rather than going for a 30-year, fixed-rate mortgage on a higher loan amount, we instead put more down on our home, and took on a 15-year mortgage.
While the monthly payment amounts were higher with this type of mortgage, by taking on a shorter term mortgage, we would effectively be able to cut the interest we owed over the course of the loan’s life in half. And knowing that by taking on a 15-year mortgage, we could cut our interest rate by nearly a full percent compared to a 30-year mortgage, we realized that we could shave thousands more off our mortgage costs over time. Eventually, such knowledge allowed us to become mortgage free altogether.
I’ve recently started a spreadsheet to track our annual earnings and in turn make keeping up on our Social Security estimated benefit calculator a little easier. The calculator into which I plug our income information is found at the Social Security Administration’s website (ssa.gov), and it requires data such as our dates of birth, age at retirement, how we’d like our estimates presented to us (either in today’s dollars or future dollars that have been adjusted for inflation), and income information.
The secured assets comprise one total, the non-guaranteed assets another, and then we have a combined total for an overall net worth once our assets totals are relieved of any liabilities. We update this calculator regularly, and it allows us to stay apprised of our overall financial situation at a moment’s notice.