Chapter 1 of 2
The Inheritance Decision
Will sits with $180k in a savings account earning 0.5%. He models three options: pay off the mortgage ($142k remaining at 6.1%), invest everything in a taxable brokerage, or split it. The model shows the 10-year and 20-year outcomes for each path.
Key Insight
Paying off the 6.1% mortgage is a guaranteed 6.1% return. Investing in equities has a higher expected return but with volatility. At 41, the math slightly favors investing — but the psychological value of a paid-off home is real.
Model This Scenario