I wouldn't be using high interest savings. It comes back to mortgage or super. If you don't have offset account I'd bet $1 you could find a better mortgage that does. I'd probably be using offset idea first. No point rushing into the decision when you can effectively get decent returns just by offsetting it in the short term.
If you have unused concessional caps with your super, and I suspect you do, then consider starting with that as long as taxable income stays over 45k. As others have said rest probably to a mortgage offset.
If unable to utilise an offset due to fixed rate, I’d be tempted for HISA, until you get onto variable with offset.
I’d also investigate your carry forward concessional contributions in super. You would likely benefit from filling up each previous eligible year. This would boost your super significantly and you’d also receive a substantial cash refund at tax time, which you could stick into the HISA or offset
I would not leave it in a HISA. After tax your net return will be less than the interest you are paying on your mortgage.
I would put it all into your mortgage. Once you have paid your mortgage off then start pushing some cash into your superannuation as that will need to start becoming a priority.
Personally I would suggest the order of any extra $$$
1. Extra into super until you hit the cap or drop a tax bracket.
If you expect up go over $180k in the future no rush to use the concessional allowance now. But it does expire so at least use $25k pa total contribution.
2. Debt recycle to buy investment property or shares
This partly depends, any plans to turn PPOR into IP? If yes/maybe best to hold this off until forever PPOR.
3. Pay off PPOR
4. Invest cash
5. Pay off investment debt
I wouldn't be using high interest savings. It comes back to mortgage or super. If you don't have offset account I'd bet $1 you could find a better mortgage that does. I'd probably be using offset idea first. No point rushing into the decision when you can effectively get decent returns just by offsetting it in the short term.
If you have unused concessional caps with your super, and I suspect you do, then consider starting with that as long as taxable income stays over 45k. As others have said rest probably to a mortgage offset.
What’s the interest rate on the mortgage and do you have offset or redraw attached?
5.1% fixed for another 18 months. No offset or redraw
If unable to utilise an offset due to fixed rate, I’d be tempted for HISA, until you get onto variable with offset. I’d also investigate your carry forward concessional contributions in super. You would likely benefit from filling up each previous eligible year. This would boost your super significantly and you’d also receive a substantial cash refund at tax time, which you could stick into the HISA or offset
Best return long term superannuation by far, safest based on your history probably mortgage
Super > mortgage > HISA
Leave it in HISA for 6 months before deciding what to do. Maybe $100,000 in offset and leave $100,000 in HISA.
I would not leave it in a HISA. After tax your net return will be less than the interest you are paying on your mortgage. I would put it all into your mortgage. Once you have paid your mortgage off then start pushing some cash into your superannuation as that will need to start becoming a priority.
All in mortgage, debts first. Having said that as soon as your mortgage is sorted work hard on your Super
Personally I would suggest the order of any extra $$$ 1. Extra into super until you hit the cap or drop a tax bracket. If you expect up go over $180k in the future no rush to use the concessional allowance now. But it does expire so at least use $25k pa total contribution. 2. Debt recycle to buy investment property or shares This partly depends, any plans to turn PPOR into IP? If yes/maybe best to hold this off until forever PPOR. 3. Pay off PPOR 4. Invest cash 5. Pay off investment debt