dave holl
Absent Comrade
That is my question. We owe approx. $40K on our home mortgage and are able to comfortably pay the balance, the money coming from an account which is drawing 5%-8% interest. Tax would be paid upon withdrawal.
I am 73 and wife is 66 and have no other debts other than a small truck loan. The interest on the mortgage is 4%
Monies could be withdrawn monthly or as in one lump sum and applied to the mortgage. Taxes would be paid accordingly.
Both of us dislike being in debt and wish to pay it off, but is that the correct decision, being that we gain no tax advantage from the mortgage interest, falling into the standard deduction come federal tax time?
I realize the best answer to my question necessitates getting in the weeds so to speak........income, long term plans, etc.
Just thought I'd ask you financial advisors, people who have done it, or are thinking about it to see any pitfalls or things to be aware of when contemplating such a payoff.
Thanks for your time and consideration.
Dave
I am 73 and wife is 66 and have no other debts other than a small truck loan. The interest on the mortgage is 4%
Monies could be withdrawn monthly or as in one lump sum and applied to the mortgage. Taxes would be paid accordingly.
Both of us dislike being in debt and wish to pay it off, but is that the correct decision, being that we gain no tax advantage from the mortgage interest, falling into the standard deduction come federal tax time?
I realize the best answer to my question necessitates getting in the weeds so to speak........income, long term plans, etc.
Just thought I'd ask you financial advisors, people who have done it, or are thinking about it to see any pitfalls or things to be aware of when contemplating such a payoff.
Thanks for your time and consideration.
Dave
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