Debt Snowball

Congratulations on taken a step on the road to financial independence. This worksheet will help you burn though your debt in record time.

Enable Sorting

In order to be able to sort your debts you will first need to click 'Enable Content' when you first open the spreadsheet. Also, note that any cell that is shaded blue is for you to enter your numbers. All the other cells are calculated and are locked so you don't accidental over write the formulas. 

Enable macros

Entering your debts

The next step is to enter your debts. Grab the details of your debts, up to 5 at a time, and enter the details. If you currently have more than five debts enter the ones you want to pay down now. As you pay off one of you debts you can add the next one to the spreadsheet. I would suggest you start with your five high interest rate debts. The fields include Name of the debt, current Balance, a Teaser rate if any, Months of the Teaser rate, the current Rate or Final rate if there is a Teaser rate, and the current Minimum payment. The Teaser rate would typically be some type of 0% interest for 12 months, etc.

After you have added your five debts you can click the Sort Debts button and sort them for the method you would like to use, Snowball or Avalanche.

  • Snowball method sorts debts by balance, smallest to largest.
  • Avalanche method sorts debts by interest rate, highest to lowest.

Once you have sorted your debts enter your Monthly payment available also known as your snowball and the date you are starting. Your Monthly payment available should be greater the total of your Minimum payments. In this case our minimum payments are $1,211 a month and we are going to pay $1,400.

The overview gives you the Initial amount of your debt, how much extra you are paying a month, how long before you are out of debt and how much you will pay over that time. You can sort your debts using both the snowball and avalanche methods a see how you interest you will save between the two methods.

Snowball Method

Avalanche Method

Using the example data, you would save $494 by using the Avalanche Method, paying your highest interest rates first. Depending on your debts interest rates, balance, and other terms one way may cost you less in interest than the other. Check both methods out, it's only a click of a button. Note in our example data we are making an additional payment of $2,000 in June. To really snowball your debt make sure you use your bonuses and Tax refunds. Add as many as you can/want in the Additional payments column.

Now, you can check out your payment schedule. You can see how much to pay on each of your debts when as well as when that debt will be paid off. Pay with the amount of your snowball and additional payments to see what affect they have on your repayment schedule.

Close up view of Debt 1.

You will see that once you have paid off debt 1 that payment is added to the payment for debt 2. That is the power of the Debt Snowball method.

You will see that your last payment on Debt 1 is $89.08 and your payment for that month on Debt 2 has gone up to $444.92. But your total payment has remained the same. For Debt 1 your payment was normally $284 - 89.08 = $192.92 left over. So if we add that to Debt 2, $250 + $192.92 we get $444.92. Pretty neat huh?

Questions and Suggestions

I hope you find this spreadsheet as useful as I did when I was paying down my debt. Good luck.

If you have any questions or suggestions on how to improve it, please leave a comment below.

Growing up financially
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Growing up financially content is for educational purposes only and should not be used for investing real money. is not an investment adviser, brokerage firm, or investment company. Christopher Graham and are not professional money managers, accountants, or financial advisors. Any investment involves the taking of substantial risks, including but not limited to, complete loss of capital. Every investor has different strategies, risk tolerances, and time frames. Contact a professional certified financial advisor before making any financial decisions.
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