A tool to help you get out of debt
The intention of this free debt snowball spreadsheet is to allow you to maintain two necessary ingredients of paying off debt.
- It is a tool to help you get organized. To help you get organized you’ll want to have one of the best personal finance software. This could be a free money tracking program like Mint or another paid option. Throughout this process you might want to keep you eye on your credit score. To do this you can sign up for a free account with Credit Sesame.
- It is intentionally designed to keep you motivated.
This tool is especially helpful if you are trying to get out of credit card debt and following Dave Ramsey‘s teachings regarding the debt snowball. If you are not familiar with the debt snowball here is an explanation of the debt snowball.
Debt Snowball Spreadsheet Features
This snowball worksheet has four main categories.
Paid off debt
When you first start your debt reduction plan, this category will probably be empty. That’s alright. It won’t be blank for long. Each time you pay off a balance, write on the debt snowball spreadsheet what the money was for, how much you paid off, and the date you paid it off. Also, remind yourself of what you did to celebrate.
This keeps all of your accomplishments in front of you. You can remind yourself of everything you have accomplished as you work towards paying off all the money you owe.
Actively Working Towards Paying Off
In this category, you highlight the one debt that you are making extra payments towards. All of your focus and energy is on this one balance. Your new number one enemy.
In order to keep a carrot in front of you, list what you will do when you pay off the debt. Keep the celebration proportionate to the accomplishment, but don’t be afraid to reward yourself for some excellent progress.
Next Debt To Pay Off
There is still another debt on deck. Be mindful that this sucker is next. In this section, be sure to add your pay off motivation – why do you want to pay off this balance? How is life better without that burdne? List it and keep it in front of you.
Remaining Debts
These funds are only receiving minimal attention – you’re making minimum payments each month. For now, you’re satisfied to tread water with this money owed until they move up into the next debt category or actively working towards group.
Credit Card Consolidation & 0% Balance Transfers | Does It Really Help?
Download the worksheet now -Debt Reduction Spreadsheet (17996)
Which debt should you pay off first – debt snowball?
Some say the one with the highest interest rate. Others say the one with the smallest payment. Still, others say the debt you hate the most (biggest motivational pay off). The smallest payment approach seems to be the most effective method to motivate people to pay off debt.
Download your free debt snowball spreadsheet with the debt reduction worksheet.
Here are three articles you might want to read to help you get started.
- Getting out of Debt: A simple first step suggests you track your receipts for a month.
- Getting out of Debt: A second step suggests you get your hands on 10% of what you make in a month.
- Getting out of Debt: Step three suggests you get passionately intense about becoming debt-free.
Other Great Articles:
- Debt Snowball Explained | How To Pay Off Debt Using the Debt Snowball
- Review of Dave Ramsey: Three Things I Like About Ramsey
- Dave Ramsey: An Introduction For New Fans
- FICO Score Matters: Sorry, Dave Ramsey
- Dave Ramsey Review: Frequent Generalizations
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{ 7 comments… read them below or add one }
Anyone else having difficulties downloading this file?
hi craig,
thanx for ur free offer of the spreadsheet that works with “snowball debt”,,i have already started!!!! and u were right. i DO feel better and am making better choices.
i paid off my smallest credit card debt in full (thank God for Christmas bonuses!!hahaha), and used that money to increase my payment on the next highest credit card debt. im also buying things from my neighborhood stores in cash,,something i used to do was just ask for whatever i wanted, and pay on pay day. i became caught up in a vicious cycle. i would just get my pay so i could cover what i had already bought.
now i want to take advantage of making a budget, BUT THE LINK DOESNT LET U DOWNLOAD THE SPREADSHEET,
could u plz check into this as i want my momentum to keep growing cuz this “snowball” strategy really works.
again, thank u,
God bless u always,
K
XNMNX
Isn’t it amazing how a little financial progress has a huge impact not just on your finances, but also your emotions? Sounds like you’re starting to make some good choices and attacking your debt. All I can say is keep up the good work.
If you ever need any encouragement or advice, please let me know.
RE: Debt reducttion spreedsheet
I am unable to access this document can you send it to me. Everytime I click it it gives me an error.
Thanks
Lisa Lewis
Hey, all.
I’ve updated the link. It should be working now.
1. Click download
2. Click save
3. The document will appear as read only. Just click save as and save it somewhere in your own documents.
4. Get out of debt!
Talking about the most effective debt snowball payoffs, Bruce Ammons has a lot to say about which debt to pay off first. I went to a seminar of his. Check him out at:
http://www.conqueringdebt.com
Another great article! I’ve spent the majority of my afternoon reading your articles and comments. Dave Ramsey’s approach has been very beneficial to us in paying down our debt; by not only using the snowball effect, but also with the Zero Balance Budget. We have a budget for everything, I mean everything! Once the money is spent, no more spending can occur in that budget until it is replenished. For example, we have a budget for our car repairs/tires- this budget continues to grow as it is not something we use everyday. When a light comes onto the dashboard, we don’t panic wondering how we’ll pay for it because we know there’s a budget for that exact purpose. Thanks again for such a great article.