Vertex42, a site devoted to Microsoft Excel templates, spreadsheets, and calendars, has posted a free debt snowball calculator that will help you create a debt snowball spreadsheet. From the description:
This spreadsheet allows you to choose different debt reduction strategies, including the debt snowball effect (paying the lowest balance first) and highest interest first. Just choose the strategy from a dropdown box after you enter your creditor information into the worksheet.
What do you get?
This file contains two worksheets:
- A debt reduction calculator, which allows you to list your debts, their balances, interest rates, and monthly payments.
- A payment schedule telling you which bills to pay when.
The brilliant thing about this spreadsheet — other than the fact it does all the math for you — is that it allows you to choose from a variety of snowball methods. You can use the Dave Ramsey-esque “low balance first” debt snowball, the mathematically superior “high interest first” method, opt for no snowball at all, or — and this is the best part — enter your own payoff order. Got a loan from your brother-in-law that drives you nuts? Prioritize it and this spreadsheet will make sure it's finished first.
I wish I had access to a tool like this when I was first starting to dig out of debt…
Author: J.D. Roth
In 2006, J.D. founded Get Rich Slowly to document his quest to get out of debt. Over time, he learned how to save and how to invest. Today, he's managed to reach early retirement! He wants to help you master your money — and your life. No scams. No gimmicks. Just smart money advice to help you reach your goals.