Almost everyone tries to save money where they can: by using coupons, cutting unnecessary expenses, refinancing loans, and comparison shopping. But, if you don’t have an ultimate goal in mind, what’s the point of hoarding your money? You can’t take it with you. Are you trying to save for a down payment on a home? Putting more money towards your retirement? Or trying to pay off your mortgage faster and become debt free? According to this article by Team EOD at Enemy of Debt, it’s “pointless” to be frugal, unless you aggressively put the saved money towards extra mortgage payments:
When you spend all of your time being frugal and paying attention to the immediate things that happen every day like buying petrol or doing food shopping it’s all for nothing, you’ll still be going backwards to the tune of hundreds of thousands of dollars.
Financial sites often tell you to “start with your biggest expense” when budgeting but then go on to completely miss THE biggest expense of all, mortgage payments!
So if you only take away one message from this article today make sure it’s to always, always have your mortgage paid off as quickly as possible.
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