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[quote=Anonymous][quote=Anonymous][quote=Anonymous]I think it's perfectly reasonable in situations like this to do some of both.

One way to look at it would be to consider what your overall asset allocation for this money should be-- at 43 some people may be 100% in equities but most advisers would suggest you have somewhere between 20 and 40% in bonds, so you could consider putting something in the range of $40-80k into paying down the mortgage and that would still be a moderately aggressive investment of the $200k.

Another way to look at it is to figure out how much you need to pay down so it's paid off by retirement.  You could also compare that number to the range above and see how close they are.

Or you could just split it-- 50/50 is a little more conservative but if you are maxing your other accounts I think it's fine to be a little more aggressive on paying down the mortgage (worst case it frees up some cash flow later).[/quote]

Do you think splitting it would be effective? Putting 40-80 into the mortgage seems like it would hardly make a dent.[/quote]

You should run amortization tables to see but as a quick estimate you can divide 80k by your mortgage payment— if it’s 8k then you would shave 10 months off your mortgage. You could also call your bank and ask about recasting the mortgage. [/quote]

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