With $11,900 across three debts, adding $200 a month would clear them in 26 months, compared with 50 months without it, and save about $2,314 in interest.
Who this template is for
- Anyone with several credit cards or loans who wants a clear order to pay them in.
- People who stay motivated by seeing debts disappear one at a time.
- Anyone deciding how much difference an extra monthly payment would make.
How to use it
- Replace the sample debts with your own balances, interest rates and minimum payments.
- Enter the extra amount you can pay each month. Try a few amounts and watch the summary change.
- Download the Excel file. It recalculates if you change a balance, rate or payment.
Example: three debts and $200 extra a month
Each debt keeps its minimum, and the extra goes to the smallest balance. When one is gone, its payment rolls to the next.
| Paid in this order | Balance | APR | Minimum | Gone in month |
|---|---|---|---|---|
| Store card | $1,200 | 24% | $35 | 6 |
| Credit card | $4,200 | 19% | $105 | 19 |
| Car loan | $6,500 | 7% | $180 | 26 |
Total interest in this example is about $1,545. It assumes fixed rates and no new charges.
How the debt snowball works
List your debts from smallest balance to largest, whatever their interest rates. Pay the minimum on all of them and put every extra dollar on the smallest. When it is gone, add its whole payment to the next one. Your total monthly payment stays the same, but more of it goes to each remaining debt.
Snowball or avalanche?
The avalanche method targets the highest interest rate first and usually costs less in interest. The snowball targets the smallest balance, which gives you earlier wins. If you are likely to stick with either, the avalanche is the cheaper choice on paper, but the best plan is the one you will keep following.
Common questions
Does the spreadsheet use real formulas?
Yes. Change a balance, rate, minimum or the extra payment on the Plan tab and the schedule and totals recalculate. It also works when imported into Google Sheets.
How many debts can I add?
Up to eight. That keeps the schedule readable and printable.
Does this include new charges?
No. The plan assumes you stop adding to these debts and that rates stay fixed. Variable rates and new charges will change your dates.
Should I stop saving while I pay off debt?
Many people keep a small emergency fund so a surprise bill does not go back on a credit card. If you are struggling with minimum payments, a nonprofit credit counselor can review your options.
More free tools
- See how much pay you have to work with
- 50/30/20 budget
- Bill tracker
- Personal financial statement
- All free templates
Templates are for general record-keeping and planning, not tax, legal or financial advice.