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Calculators

Debt Recycling Calculator

Wealth Strategy Simulator — Cruz
C R U Z Wealth Strategy Simulator

Plan your wealth strategy

20-year projection across three wealth-building approaches — all values in today's dollars

This simulator is for educational purposes only and does not constitute financial advice. Past investment returns do not guarantee future performance. Please consult a licensed financial adviser before implementing any strategy.
Your situation
4.0%
Risk profile
1
Standard
Pay down home loan
2
Debt Recycling
Some leveraging
3
Assets > Debt
Invest surplus + leverage
Investment preference
Income
AU equities
Balanced
Diversified
Growth
Global equities

20-year projection — Scenario 1

Net worth
Total assets
Total debt

Year-by-year breakdown

Scenario

All scenarios — year 20 comparison

Investment preference
ScenarioStrategy Total assets Total debt Net worth vs Scenario 1
Assumptions
Home loan interest rate6.00% p.a.
Investment loan interest rate6.50% p.a.
Investment loan typeInterest only
Stress test rate9.50% p.a.
Min. equity release (per event)$50,000
Max. LVR after leveraging80%
Max. total leverage6× annual income
Serviceability includesSavings + inv. income + freed mortgage
Inflation / discount rate3.00% p.a. (today's dollars)
Simulation horizon20 years
Tax treatmentAustralian marginal rates
Distribution taxTaxed at marginal rate; AU equities 70% franked
Interest deductibilityInvestment loan interest fully deductible
Scenario 1 post-payoffSurplus invested, no new debt
Investment return assumptions
Option Benchmark Total return Income yield Capital growth
Income S&P/ASX 300 index (long-term avg) 9.0% 4.5% 4.5%
Balanced High Growth Composite Index ? High Growth Composite Index comprises of (weight/index):36% S&P/ASX300 Index, 26.5% MSCI World ex-Australia Index (with net dividends reinvested) in Australian dollars, 16% MSCI World ex-Australia Index (with net dividends reinvested) hedged to Australian dollars, 6.5% MSCI World ex-Australia Small Cap Index (with net dividends reinvested) in Australian dollars, 5% MSCI Emerging Markets Index (with net dividends reinvested) in Australian dollars, 3% Bloomberg AusBond Composite 0+ Yr Index, 7% Bloomberg Global Aggregate Float-Adjusted and Scaled Index hedged to Australian dollars 9.5% 3.0% 6.5%
Growth MSCI World ex-Australia index (long-term avg) 10.2% 1.5% 8.7%

Return assumptions based on long-term historical averages for each benchmark. Past performance is not a reliable indicator of future performance. Distributions are taxed at the user's marginal rate annually. AU equities distributions are 70% franked (30% corporate tax rate). Investment loan interest is fully tax deductible and reduces taxable income each year.

Turn this projection into your plan
At Cruz, we believe money should serve your life — not the other way around. If this simulator has sparked some thinking, we'd love to help you turn it into a clear, personalised strategy. Our advisers specialise in wealth structuring, debt management, and investment planning tailored to your goals.
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