So with my focus on paying off my mortgage you would think making a goal would be easy. In some ways, yes since I’ll be picking a number related to my mortgage. On the other hand doing the math to determine a specific number and cross checking if I can put all that money on the mortgage wasn’t easy.
Yet in the end I did the math and came out with a few things. First off I expect the mortgage to finish the year at about $121,600, which would mean I’ve paid off about $15,000 this year on principle. That’s fairly good given I haven’t focused too much on it. So in 2010 I’m really going after it I’m heading for a goal to have my mortgage at $78,000 or less by Dec 31, 2010. So for those of you with sharp math skills I’m planning on paying off over $43,000 in principle next year.
So obviously that is a huge number, so how the hell can I get there? Well that’s got a few factors to it:
- I’m reducing my investment activity down to just my pension, regular RRSP contributions and regular RESP contributions which should free up some cash.
- I’m putting all my after tax income from my second job towards the mortgage.
- I’ve increased my regular payments by 15% and the balance has dropped so each regular payment I’m now paying off a fair bit of principle.
The longer term result of all of this should be paying off the final mortgage balance sometime in 2012.
So do you have any goals for 2010? If so, what are you focusing on?