Step 6 - Pay off the Mortgage Early

PAY OFF LOW INTEREST DEBT. This is  house or a really large student loan. Lets say we have a $100,000 student loan at 6% interest this where we pay that off. 

Do not pay off the home at the expense of investing 15% or more and especially if the interest on the mortgage is 6% or less. 

It is a good idea to take out a 15 year mortgage versus a 30 year, but it does not make sense to trade a low interest rate for a higher rate just to shorten the mortgage. This is why we will pay extra on the mortgage. It is just a large snowball. am 30 year mortgages contain a 15 year mortgage within them if we make extra payments. 

There is a balance here. Paying off the house will get you peace, but so will a large pile of money (investments) the idea is to create options. Knee the house is paid off investing becomes way less "Risky." With our entire income available, and no margin on investments we can simply ride the market up and down. 

Introduction - Do not get into Consumer Debt

Step 1 - Start a Rainy-Day Fund

Step 2 - Pay off all debts except the Mortgage.

Step 3 - Build the Real Rainy-Day Fund

Step 4 - Get those investments going.

Step 5 - Save for Education

Step 6 - Pay off the Mortgage Early

Step 7 - Become Wealthy and GIVE

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