debt snowball spreadsheet template google sheets

Debt Reduction and Snowball Tracking System

This system provides a structured framework for managing multiple liabilities using the snowball method. The scope includes tracking balances, interest rates, and minimum payments to automate the order of repayment. Update this sheet monthly upon receiving your billing statements to ensure accuracy.

Debt Inventory and Snowball Priority

Column Definitions

• Debt Name: Text field identifying the lender or loan type.
• Current Balance: Currency field; represents the total outstanding principal.
• Interest Rate: Percentage field; used for reference.
• Min Payment: Currency field; the mandatory monthly obligation.
• Snowball Order: Integer; rank debts from lowest balance to highest balance (1 = first to pay off).
• Status: Dropdown list; options include [Active], [Paid Off], [On Hold].

Essential Formulas

Monthly Debt Service Total: Sum the minimum payments to understand your baseline monthly obligation.

=SUM(D2:D5)

Snowball Payment Calculation: If you have a fixed monthly budget of [__________] for debt reduction, use this to calculate the "extra" amount to apply to the target debt (where A2 is the current target):

=[Total Monthly Budget] - SUM(D3:D5)

Remaining Balance Tracking: Subtract payments made from the original balance:

=[Original Balance] - [Total Payments Made]

Data Validation and Formatting

1. Status Dropdown: Select the column [Status], go to Data > Data Validation, and set criteria to "Dropdown." Add the values: Active, Paid Off, On Hold.
2. Snowball Priority Highlight: Select the [Snowball Order] column, go to Format > Conditional Formatting. Set "Format cells if" to "Equal to" and enter 1. Set the fill color to light green to highlight your current primary focus.
3. High Interest Alert: Select the [Interest Rate] column, go to Format > Conditional Formatting. Set "Format cells if" to "Greater than" and enter 0.15 (15%). Set the text color to red to identify high-cost debt.