Pay Off Debt Early or Invest Template
Wondering whether you should use your extra cash to pay off debt early or invest instead? This template helps you compare both strategies side-by-side so you can determine which option is expected to build the most long-term wealth based on your unique financial situation.
What Sets This Template Apart: Your Guide to Making Smarter Financial Decisions
9 Financial Scenarios: Compare 9 different strategies across your mortgage, other debt, and investing, including lump sum payments, extra monthly payments, and combinations of both.
Apples-to-Apples Comparison: Unlike most calculators that only compare interest savings, this template also calculates the investment gains from investing after your debt is paid off early, allowing you to compare both strategies over the same time period.
Interest Savings Calculator: Instantly calculate how much interest you can save by paying off your mortgage or other debt early.
Investment Growth Calculator: See how much your investments could grow over time based on your expected annual investment return and compare those results against paying off debt.
Debt-Free Timeline: See exactly how many years sooner you can pay off your mortgage or other debt and how much time each strategy saves.
Strategy Rankings: Automatically ranks all 9 scenarios based on their estimated financial benefit, making it easy to identify which strategy provides the greatest long-term value.
Automated Calculations: Simply enter your mortgage, debt, investment assumptions, lump sum amount, and extra monthly payment. The calculator updates every scenario automatically.
What Makes This Template a Game-Changer?
See the Complete Financial Picture: Understand not only how much interest you'll save, but also the investment opportunity created once your debt is paid off—giving you a more complete comparison of both strategies.
Save Time with Instant Analysis: No complicated formulas or manual calculations. Simply update the assumptions and let the template do the work.
Designed for Real-Life Financial Decisions: Whether you're deciding what to do with a tax refund, bonus, or extra monthly savings, this calculator guides you on which strategy is expected to leave you financially ahead.
For a Step-by-Step Live Tutorial, watch the YouTube video here.