Should you consider depositing your bonus into your bond account?  The answer is undoubtedly yes!

If we assume that you get a bonus of R15 000 and that a bond of R500 000 is financed over 20 years, you can save almost R70 000 in interest and reduce the term of your loan with 1 year and 6 months!  This is for a once-off sacrifice of R15 000!

If you do this every year until your bond is paid off, you will cut down the pay-off time with 9 years and save R303 000 in interest.

To do this calculation for your own circumstances, visit the FireFly Increased Instalment calculator.