After working long and hard for many years, it's time to finally discuss retirement options and what you want to do. In particular, it's important to get your finances straight. You should determine whether you're en route to paying off your mortgage or whether it's a better idea to carry your mortgage with you into your retirement. Here are three situations when the latter is actually a better option.

If You Have High-Interest Debt

Your financial advisor responsible for planning out your retirement with you will first want to take a look at all of the debt that you carry, along with the interest rates associated with each debt. Although paying off your mortgage might seem like a priority to you, the first thing that you should actually do to prepare for retirement is to pay off all high-interest debt. The average 30-year mortgage interest rate in America is only 3.73% whereas the average credit card interest rate has risen to 15.07%.

If You Need to Tap Into Your Retirement Savings or Aren't Maxing Out on Them

Another important factor to consider is whether you are maxing out on your retirement savings plan or whether you will need to tap into your retirement savings to pay off your mortgage. Both are not ideal. If you tap into your retirement savings account before you retire, you might be hit with taxes. On the other hand, if you aren't contributing as much to your retirement savings account, you're also potentially losing out on a lot of money for your retirement. In both cases, it's best to hold off paying your mortgage off completely.

If You Know You'll Need Liquid Funds in the Future

Once all of the expenses and investments have been accounted for, your financial advisor will also want to discuss any potential concerns that you might have. If you spend all of your liquid cash on paying off your mortgage, you might not be left with any funds to tap into should an unexpected situation occur. In particular, consider rising medical costs. If you're already struggling with a medical condition, you might need that capital to pay for your medical bills when the time comes.

Conclusion

A financial advisor like Estate & Financial Strategies, Inc. will address every possible scenario to help you determine what your best course of action should be. They'll help you weigh out the pros and cons of paying off your mortgage in comparison to carrying your mortgage with you into retirement, so that you will know what to expect.