Skip to content
Invest Wise WayAll calculators

§ Calculator · Housing

Bi-weekly payment savings

What this is

Switching to accelerated bi-weekly payments slashes total interest.

The trick: accelerated bi-weekly pays half the monthly amount every two weeks. There are 26 fortnights in a year vs 24 in monthly-divided-by-two, so you make the equivalent of 13 monthly payments instead of 12. That extra payment goes directly to principal.

  • ·Non-accelerated bi-weekly: monthly × 12 ÷ 26. Same total per year as monthly.
  • ·Accelerated bi-weekly: monthly ÷ 2. Total per year = monthly × 13.
  • ·Result: same principal, but you finish 2-4 years earlier and save tens of thousands.

Bi-weekly payment

$1,453

Months saved

41 (3.4 yr)

Interest saved

$58,617

Base term

25.0 yr

Accel term

21.6 yr

Base total interest

$371,554

Accelerated bi-weekly is the same as adding 1/12th of your monthly payment to every month as extra principal. The math is identical; the framing makes it psychologically easier.

Invest Wise Way

Disclaimer

Educational, not financial advice. Output is generated by an AI assistant using simplified assumptions. Tax rates, contribution limits, and benefit amounts change annually; confirm with a CFP, CPA, or the relevant Canadian regulator (CRA, FSRA, OSC, IIROC) before acting.