Assumptions • The mortgage rate will remain the same for the entire period / term of the mortgage. • The mortgage is payable monthly at the beginning of the month. • The mortgage can be paid down monthly or in a lump sum without incurring penalties. • Once your mortgage is paid off early, you will invest your former monthly mortgage payments into your RRSP. • You have sufficient contribution room for making additional lump sum and monthly payments into your RRSP. • The tax savings generated by RRSP contributions are available immediately and are automatically re-invested in your RRSP. • The assumed investment rate of return will remain the same for the entire period of the illustration. • There is no significant change in your marginal tax rate as a result of making additional lump sum or monthly payments into your RRSP. • Appreciation in the value of your home, other RRSP accounts, investments and other assets held elsewhere are ignored.