Could 10 Minutes Of Discomfort Shave 8 Years (Or More) Off Your Mortgage Payments?

  • "I'm not doing it for the money."  
  • "Money's not what motivates me."
  • "Other things are more important to me than money."

When I hear people tell me they haven't (or won't) negotiate their salary because of reasons like those listed above, I have to wonder if they aren't just providing excuses to avoid the potential discomfort they anticipate entering into negotiation will cause them.

Because you see, even if money is not a primary motivator for you, the fact remains: you're not working for free right now because - in our current society anyway - you NEED money.  Money to pay for food, shelter, education, retirement and yes, even luxuries if you so desire.

The simple truth is that the more money you have, the more choices and opportunities you have to:

  • invest in a home
  • pay for your child's education
  • donate to causes you care about
  • retire earlier 
  • travel the world
  • go to the spa
  • and so on!

Negotiating for a higher salary isn't selfish, it's the fastest way to provide you with more leverage to create better opportunities not only for yourself but for your loved ones and wider community.

Because I knew companies tend to make offers on the lower end of the pay spectrum expecting that job candidates will negotiate for more (though men tend to take advantage of this more than women), back when I worked in the corporate world, I always negotiated my salary before accepting a new job contract.  

Sometimes my requests were rejected but sometimes things worked out in my favor - especially that time when I got a 40% pay increase and the company agreed to pay for an $8,000 course I wanted to take, too!

I'm not telling you this to brag, it's just that I've learned a lot from my negotiation experiences and I would love to share it with you so that you can benefit as well.  If you'd like to negotiate but are just unsure how to do it, please join me for this free upcoming workshop:

Negotiating Your Salary - How do you actually do it?

I hope to see you there!


How Taking 10 Minutes to Negotiate Could Shave 8 Years (or more) Off Your Mortgage Payments

To help illustrate the long-term impact that negotiating a higher salary can have, let's work through a tangible example.

Let's assume:

  • Your current mortgage with the bank is $ 500,000
  • The interest rate is 5.69 %
  • You aim to pay back your mortgage over a 25 year period
  • This means your fortnightly mortgage payments are $ 1,443

Let's also assume: 

  • Your current income is $ 70,000
  • You successfully negotiate a raise of 20% for your next role
  • This means your new income before tax will be $ 84,000

Based on current NZ income tax system rates, your after-tax income will increase by $ 353 fortnightly.

If you dedicate all this additional income to repaying your mortgage, you are now able to pay $ 1,796 fortnightly... which means you will pay off your mortgage 8 years and 5 months earlier!

Isn't that an amazing return for simply taking 10 minutes to negotiate?

You can tailor this example to your specific situation using an online calculator like this