How should I spend extra 20 grand in my situation?
I M35 recently been saving my extra severance that I got from last year that built up to 20k. I'm not sure exactly how to spend it whether to invest or pay off the house? I
Current Networth: 750-800k depending on house equity/investments
HYSA (4%) - 70k
Investments - 400k (Combined with my Wife) 401ks + Mutual Funds
House Equity - 350k (House worth 700k)
Current house APR is 4.0 for 15 years. I have 350k left on the mortgage bought it at 2022. I grew up on Dave Ramsay so for a long time I'm always fed up with the idea that I should pay off the house as soon as possible but after seeing my investments grow I feel like I should have been putting more on the investment side. On the bright side, we are following the general rule, we're 1.5x of our current salary by 35 and we're on track for a good retirement but we are also over the 30% rule of our mortgage since we took out a 15 year loan, our monthly mortgage is 40% of our monthly budget. (Side Note: We don't have any debts (Student loan / Cars paid off) and our expenses are under 30% of our monthly budget and the rest we save/invest.
Since we're over the 25-30% rule, I was hoping to pay off the house as soon as possible as it would be a huge relief to not have to worry about being able to pay off 40% of our mortgage assuming one of us lose our jobs. Important to also note that I'm in tech which is the reason I've gathered a huge savings account for over 6 month to 1 year security but luckily I also found a new job to replace my old one.
Would you invest or pay more off the loan at my current situation?