In a perfect world, you’d have enough money to pay off your debt and invest at the same time. However, the world is rarely perfect - especially where our finances are concerned. Sometimes, we need to make tough decisions about what to prioritise in our personal budgets.
In this chapter, Ms FireMum from A Family on FIRE breaks down the different types of debt you might accrue. She also runs through cost-benefit analyses, so you can decide which debt you might want to prioritise. Finally, she helps you find the elusive answer to that question: “can I pay off debt and invest at the same time?”
If you'd rather read, you can view this chapter's written form on our blog.
NOTE: This chapter references general topics like deductible debt, but nothing included should be interpreted as tax advice. You should see a tax adviser if considering these topics.
Pearler
Strong Money Australia
Original Aussie FIRE e-book
Strong Money Australia’s audiobook
Disclaimer
Any advice is general and does not consider your financial situation needs, or objectives, so consider whether it’s appropriate for you. You should also consider seeking professional advice before making any financial decision.
Pearler is an Authorised Representative #1281540 of Sanlam Private Wealth Pty Ltd AFSL #337927. Read the FSG available from https://pearler.com/financial-services-guide
If you are considering any of the products we spoke about during the show, be sure to read the Product Disclosure Statement & Target Market Determination available from the product issuer’s website before deciding.